Professional Documents
Culture Documents
Answer Key Chapter 8 Quiz
Answer Key Chapter 8 Quiz
Answer Key Chapter 8 Quiz
ACG 301
Chapter 8 Quiz
Fall 2011
D) all of these.
D) none of these.
4. Chess Top uses the periodic inventory system. For the current month, the beginning inventory consisted of 300 units
that cost $65 each. During the month, the company made two purchases: 450 units at $68 each and 225 units at $70
each. Chess Top also sold 750 units during the month. Using the FIFO method, what is the amount of cost of goods
sold for the month?
A) $50,655.
B) $48,750.
C) $51,225.
D) $50,100.
Page 1 of 2
5. Gross Corporation adopted the dollar-value LIFO method of inventory valuation on December 31, 2011. Its inventory
at that date was $440,000 and the relevant price index was 100. Information regarding inventory for subsequent years
is as follows:
Inventory at Current
Date Current Prices Price Index
December 31, 2012 $513,600 107
December 31, 2013 580,000 125
December 31, 2014 650,000 130
What is the cost of the ending inventory at December 31, 2014 under dollar-value LIFO?
A) $512,480.
B) $509,600.
C) $500,000.
D) $526,800.
Page 2