1.

Given the following information for an inventory item of the Scottsdale Corporation:

Cost	$115
Replacement Cost	$109
Estimated Sales Price	$120
Normal Profit	$6
Cost of Completion	$6

Using the LCNRV Rule, the proper inventory amount for the balance sheet is:

Select one:

a. $114

b. $108

c. $120

d. $109

e. $115

2.

When the LIFO method is used, ending inventory is assumed to consist of:

Select one:

a. The most recently purchased units

b. The oldest units

c. The units with the highest per unit cost

d. The units with the lowest per unit cost

3.

At a lump-sum cost of $18,000, Obenauer Company recently purchased the following items for resale:

The appropriate cost per unit of ABC inventory is:

Select one:

a. $3.00

b. $ .80

c. $1.50

d. $3.75

e. $2.40

4.

The account Due from Factor may be created as the result of:

Select one:

a. Borrowing with receivables as collateral

b. Assigning receivables to a collection agency

c. Selling receivables resulting from the credit sales of merchandise

d. Securitizing multiple receivables

5.

How does the combined declaration and distribution of a stock dividend affect Total Stockholders Equity and EPS? (assume a positive Net Income)

Select one:

a. No Effect, No Effect

b. Decrease, Increase

c. No Effect, Decrease

d. Decrease, No Effect

e. Decrease, Decrease