1) ABC Company purchases merchandise FOB destination point. While in transit it should be included in the a) seller's or the b) buyer's inventory? Answer here: 2) Inventory transactions for January: Cost per Total Date Transaction Units Unit Cost Beginning Inventory 500 $1.00 $500.00 1/3 Purchases 500 $2.00 $1,000.00 1/15 Purchases 200 $3.00 $600.00 1/30 Sold 700 What would be the cost of goods sold and 1/31 inventory using FIFO? Cost of Goods Sold: $ Answer 1/31 Inventory: $ Answer 3) The Retail Method of calculating inventories is acceptable for: a) income tax purposes b) generally accepted accounting principles c) both a) and b) d) neither a) nor b) Answer here: 4) COST RETAIL Beginning Inventory 200,000 300,000 Purchases 500,000 700,000 Net sales at retail 600,000 Use the space above the lines NOT ON THE LINE to calculate the ending inventory, at cost, using the Retail Method. Description COST RET AIL Beginning Inventory 200,000 300,000