22. unta December 31, 2018 During the count, one of inventory twice for the balance sheet Stockholder's Equity Syed Company made an inventory count on December the clocks made the ro uting inventory December 31, 2018. the effects of this Liabities overstated understated b understated no effect overstated Oversted d overstated no effect In a period of inflation the cast method that results in the a average-cost method b gross profit method CFIFO method d LIFO method understated overstated on the cost flow method that results in the lowest income taxes the 23. 24 Pater Company's records indicate the following information for the year Merchandise inventory, 1/1 $ 400,000 Purchases 2.500.000 Net sales 4,000,000 on December 31, a physical inventory determined that ending inventory of $450,000 was in the warehouse. Patel's gross profit on sales has remained constant at 407 Patel suspects some of the inventory may have been taken by some new employees. At December 31, what is the estimated cost of missing inventory? a $50,000 b. $75,000 c. $100,000 d. $150,000 At April 1, 2018, Ghandi Company had beginning inventory consisting of 100 units with a unit cost of $7. During April, the company purchased Inventory as follows 600 units at $8 900 units at $9 The company sold 1,200 units during the month for $15 per unit. Ghandi uses the average cost method. The value of Ghandi's inventory at April 30, 2018 is a. $3,000. b. $3,400 c. $7,500 d. $9.200. 25. 26. Which one of the following is not an objective of a system of internal controls? a. Safeguard company assets b. Enhance the accuracy and reliability of accounting records c. Overstate liabilities in order to be conservative d. Reduce the risks of errors 27. Internal controls are concerned with a. only manual systems of accounting b. preparing income tax returns. c. the extent of government regulations. d. safeguarding assets