Red Clay Obtains Its Characteristic Color from

question 70

Multiple Choice

Red clay obtains its characteristic color from

• A) the remains of bottom organisms.
• B) the oxidation of iron.
• C) the silica liberated from diatoms.
• D) calcium carbonate.
• E) bacteria of the deep sea.

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Definitions:

Estimating Value of Inventory

The process of calculating the worth of unsold goods at the end of an accounting period using methods such as FIFO or LIFO.

Gross Profit Method

An inventory estimation technique that calculates the cost of goods sold by deducting sales revenue from the gross profit percentage.

Net Realizable Value

The estimated selling price of goods, minus the costs of their sale or disposal, used to assess the value of inventory or receivables.

Retail Inventory Method

An accounting method used to estimate the ending inventory and cost of goods sold of a retail company by using a cost-to-retail price ratio.