1) Given the following data, what is the value of the ending inventory as determ

Question

1) Given the following data, what is the value of the ending inventory as determined by the FIFO method?

Sales 280 Units

Beginning Inventory 260 Units at $5 per unit

Purchases 108 Units at $8 per unit

a) $1,410

b) $1,300

c) $704

d) $440

2) Equipment acquired on Janurary 1, 2010, is sold on June 30, 2013, for $11,200. The equipment cost $26, 800, had an estimated residual value of $6,800, and an estimated useful life of 5 years. The company prepared financial statements on December 31, and the equipment has been depreciated using the straight-line method. Prior to determining the gain or loss on the sale of this equipment, the company should record depreciation of:

a) $5,000

b) $2,000

c) $31,700

d) $0

Explanation / Answer

1

c) $704

2

c) $31,700

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.