1A. Which of the following types of accounts have a normal debit balance?

assets and dividends

liabilities and expenses

revenues and liabilities

liabilities and dividends

1B. Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1	120 units at $70 per unit
Purchase on February 14	100 units at $85 per unit
Sale on August 21	120 units

What would be the companys cost of goods sold in dollars on December 31 if the company used perpetual, last in, first out (LIFO) method?

$9,900

$8,500

$8,400

$7,000

1C. Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1	120 units at $70 per unit
Purchase on February 14	100 units at $85 per unit
Sale on August 21	150 units

What would be the companys cost of goods sold in dollars on December 31 if the company used perpetual, first in, first out (FIFO) method?

$4,900

$5,950

$10,950

$12,000