Pym Corp. was formed on 1/1/08 and is in the business of buying and selling...
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Accounting
Pym Corp. was formed on 1/1/08 and is in the business of buying and selling erasers. The cost of purchasing erasers and the number of erasers held in inventory has steadily increased since the company was formed. Which of the following inventory methods will provide the most useful information regarding the inventory amount presented in the 12/31/17 balance sheet?
LIFO
FIFO
Average Cost
Cant be determined with the information provided
Rogers Inc. is a wholesaler of office supplies that began operations in 2017. The activity for Model Z calculators during 2018 is shown below. (A year end physical inventory indicates 8,000 Model III calculators on hand.)
Date Transaction Units Cost
August 1 Purchase 4,000 $18.00
September 4 Purchase 6,000 18.60
September 16 Sales 5,200
November 12 Purchase 7,600 19.00
December 23 Sales 6,800
December 30 Purchase 2,400 20.00
If Rogers Inc. uses a LIFO periodic inventory system, the ending inventory of Model Z calculators at December 31 is reported as
$146,400
$150,080
$154,000
$154,400
Rogers Inc. is a wholesaler of office supplies that began operations in 2017. The activity for Model Z calculators during 2018 is shown below. (A year end physical inventory indicates 8,000 Model III calculators on hand.)
Date Transaction Units Cost
August 1 Purchase 4,000 $18.00
September 4 Purchase 6,000 18.60
September 16 Sales 5,200
November 12 Purchase 7,600 19.00
December 23 Sales 6,800
December 30 Purchase 2,400 20.00
If Rogers Inc. uses a FIFO periodic inventory system, the ending inventory of Model Z calculators at December 31 is reported as
$146,400
$150,080
$154,000
$154,400
Hansen Corp. purchases a machine for $160,000 on 1/1/2018. The machine has a useful life of 5 years and has a $10,000 residual value.
What is depreciation expense in 2019 under the 200% (double) declining balance method?
$64,000
$30,000
$38,400
$36,000
What is Hansens depreciation expense in 2019 under the straight-line method?
$32,000
$30,000
$38,400
$36,000
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