-The Figure Above Shows the U

question 249

Multiple Choice

-The figure above shows the U.S.demand and U.S.supply curves for cherries.In the absence of international trade,cherry farmers would receive ________ per pound of cherries.

• A) $0.50
• B) $1.50
• C) $2.50
• D) $2.00
• E) $1.00

---

Definitions:

Moving-average Cost Method

An inventory valuation method that averages the costs of inventory over a period to calculate the cost of goods sold and ending inventory valuation.

Average-cost Method

The average-cost method is an inventory costing method that assigns an average cost to each item in inventory, used to determine the cost of goods sold and ending inventory values.

Weighted-average Cost Method

This inventory costing method assigns a weighted average cost to each unit in inventory, used to calculate cost of goods sold and ending inventory.

Lower-of-cost-or-market

An accounting principle that states assets should be recorded at the lower value of either its cost or its market value.