50.1K

Verified Solution

Link Copied!

In the _______________ system, purchases and sales inventory the inventory account. In the __________ system, the inventory account is not updated by each sale or purchase of inventory made during the periods. Cost of goods sold plus ______________ equals cost of goods available for sale. ______________ is the actual physical movement of how goods are sold for inventory. ____________ is determined by what costs are assigned by various inventory methods. Flow of goods and flow of costs are the same in the _________________. Using the ________________ method, the net income will not fluctuate as much as other methods when the income statement is prepared. In the __________ method, the cost recent costs are assigned to goods not sold. The _________________ method assumes that the ending inventory is made up of the old inventory. During inflation, LIFO produces the ___________ net income. Financial reports are made more reliable by the principle of ___________. The ___________ principle helps clarify why a company makes a change in the preparation of its financial statements. Consigned goods belong to the ___________ and will be added to its inventory. ___________________ means the seller pays the cost of freight. If beginning inventory is understated, net income will be _________________

Answer & Explanation Solved by verified expert

See Answer