WEEK 4, DEVRY ACCT 212 QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) ALREADY GRADED A+

for a merchandising company - ANS the income statement reports the cost of the inventory sold During the period another term for gross profit - ANS gross margin a periodic inventory system - ANS D all of the above, is used for inexpensive Goods, is not an expensive to maintain, does not keep a running record of inventory on hand all of the following costs would be included in inventory except - ANS advertising the specific unit cost method - ANS is also known as the specific identification method to determine the average cost per unit - ANS the cost of goods available is divided by the number of units available under the .......... method, ending inventory is based on the cost of the most recent purchases - ANS FIFO the disclosure principle requires that management prepare financial reports that disclose all of the following types of information except - ANS forecast of expected future earnings to help investors decide whether to invest in the company the lower of cost or Market rule requires a company to report inventories at the lower of - ANS historical cost or current replacement a gross profit margin of 30% means - ANS both A and B are true, for each dollar of sales the company has a cost of goods sold of $0.70, for each dollar of sales the company has a gross profit of $0.30