The ending inventory of a company was $450,000 as per the perpetual inventory records. The current replacement cost for the ending inventory is $410,000. Prepare the journal entry to adjust inventory
What will be an ideal response
Cost of Goods Sold 40,000
Merchandise Inventory 40,000
Note:
Amount written down = $450,000 - $410,000 = $40,000
You might also like to view...
Marketers often use principles and theories from sociology and psychology to better understand consumers' actions and to
A. contribute to the theoretical knowledge in those disciplines. B. satisfy ritual consumption needs while avoiding overconsumption. C. maximize postpurchase cognitive dissonance. D. avoid cultural reference group problems. E. develop basic strategies for dealing with their behavior.
________ is preferred by U.S. auditors
A) ISO/IEC 27000 family B) COSO C) CobiT D) PCI-DSS
You are working on the Coleman audit. Assume that each of the four sections of this question are unrelated. Ashley Wilson, another staff member, has given you the following list of what she refers to as "internal control deficiencies" and has asked you to review each point and make sure that you agree that each is an internal control deficiency.??Agree, this isa control deficiencyDisagree, this is not a control deficiency1.Voided checks are torn up and destroyed.??2.Separate sequences of prenumbered checks are used for each bank account.??3.The purchasing department manager and assistant manager are the authorized check signers.??4.No checks are made payable to cash.??5.The authorized check signers reconcile bank accounts.??6.All cash receipts (checks) received through the
mail are prelisted by the two individuals who open the mail.??7.All cash receipts received through the mail are restrictively endorsed when received.??8.When a disbursement is made based on paper supporting documents, those supporting documents are canceled by the individual who signs the check.?? What will be an ideal response?
Which of the below is a problem from using a color in forms and reports?
A) Soothes or strikes the eye. B) Printing or conversion to other media may not easily translate. C) Evokes more emotional reactions. D) Draws attention to warnings.