Quiz – LCM
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
In applying LCM, market value can’t be:
In applying LCM, market value can’t be:
In applying LCM, market value can’t be:
In Year 1, a company overstated its ending inventory by $60,000. However, the error was not discovered until Year 3. In Year 2, the company made no errors. Once the company found the error in Year 3, management restated the balance sheets for Year 1 and Year 2 by lowering the reported ending inventory in both Year 1 and Year 2 by $60,000. Which of these statements is for Year 2?
In perpetual inventory system, which of following is recorded at time of the sale?
Under the retail inventory method, which is correct regarding measuring inventory?
Which of these changes requires retrospective treatment of prior years’ financial statements?
When a company understates its count of it’s ending inventory in the first year and it reports inventory in the second year, which of these is true?
What is the process involved in using the dollar-value LIFO retail method for inventory?
What is the first step to take when using the dollar-value LIFO retail method for inventory?
What does the second step involve when using the dollar-value LIFO retail method for inventory?