11. Late on the night of September 30, 20X5, an arsonist destroyed the Greensboro Company warehouse which was full of inventory. Luckily the accounting records were stored in another facility and not destroyed in the fire. Greensboro Company is in the process of filing a claim with its insurance company for the inventory loss due to the fire. Mark-up on cost 50% $300,500 500,250 Beginning inventory Purchases through Sept. 30, 20X5 Net sales revenue through Sept. 30, 20X5 875,200 Estimate the value of the inventory destroyed in the fire using the gross margin method. Which of the following statements is generally true when prices are rising? 12. The use of LIFO will result in less taxes than FIFO. FIFO results in less taxes than LIFO. Managers will use LIFO if they want to maximize income reported to shareholders. LIFO produces taxable income that exceeds taxable income of FIFO. C. d. Given the following for the Divirgil Corporation: 5/31/14 Deposits in Transit:405/31/14 Outstanding Checks: $45 5/31/14 Balance per Books: 6 O June 2014 Bank Disbursements: $2,500 5/31/14 Balance per Bank: O June 2014 Bank Receipts. $3,000 16/30/14 Deposits in transita $2,200 $70 $90 ? 6/30/14 Outstanding Checks: No additional reconciling items existed at 5/31 or 6/30. What is the 6/30/14 unadjusted Balance per Books? a) 2,180 b) 2,675 c) 2,700 d) 2,695 e) $2,680 14. Purchases Sales April 3 April 1 (balance on hand) 600 @ $6.26 1,500 @ 6.00 800 6.40 500 @ $10.00 9 1400 @ 10.00 4 8 Sales 1.900 GAS 2.900 Compute: (Round average cost amounts to the nearest penny.) A. B. C. WTD Avg. periodic CGS D. WTD Avg. perpetual (moving average) ending inventory FIFO periodic CGS