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13. When a perpetual inventory system is used, which of the following is a purpose of taking a physical inventory? a. To check the accuracy of the perpetual inventory records b. To determine cost of goods sold for the accounting period c. To compute inventory ratios d. All are a purpose of taking a physical inventory when a perpetual inventory system is used. 14. At December 31, 2022, Howell Company's inventory records indicated a balance of upon further investigation it was determined that this amount included the following: 108,0UU in inventory purchases made by Howell shipped from the seller 12/27/22 terms rob destination, but not due to be received until January 2 $111,000 in goods sold by Howell with terms FOB destination on December 27. The goods are not expected to reach their destination until January 6. $9,000 of goods received on consignment from Westwood Company What is Howell's correct ending inventory balance at December 31, 2022? a. $710,000 b. $869,000 c. $590,000 d. $701,000 15. The LIFO inventory method assumes that the cost of the latest units purchased is a. the last to be allocated to cost of goods sold. b. the first to be allocated to ending inventory. c. the first to be allocated to cost of goods sold. d. not allocated to cost of goods sold or ending inventory 16. A company purchased inventory as follows: 200 units at $6.00 300 units at $6.60 The average unit cost for inventory is $6.00. $6.30. $6.36. $6.60. 13. When a perpetual inventory system is used, which of the following is a purpose of taking a physical inventory? a. To check the accuracy of the perpetual inventory records b. To determine cost of goods sold for the accounting period c. To compute inventory ratios d. All are a purpose of taking a physical inventory when a perpetual inventory system is used. 14. At December 31, 2022, Howell Company's inventory records indicated a balance of upon further investigation it was determined that this amount included the following: 108,0UU in inventory purchases made by Howell shipped from the seller 12/27/22 terms rob destination, but not due to be received until January 2 $111,000 in goods sold by Howell with terms FOB destination on December 27. The goods are not expected to reach their destination until January 6. $9,000 of goods received on consignment from Westwood Company What is Howell's correct ending inventory balance at December 31, 2022? a. $710,000 b. $869,000 c. $590,000 d. $701,000 15. The LIFO inventory method assumes that the cost of the latest units purchased is a. the last to be allocated to cost of goods sold. b. the first to be allocated to ending inventory. c. the first to be allocated to cost of goods sold. d. not allocated to cost of goods sold or ending inventory 16. A company purchased inventory as follows: 200 units at $6.00 300 units at $6.60 The average unit cost for inventory is $6.00. $6.30. $6.36. $6.60

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