23. During a period of consistently rising prices, the method of inventory that will result in reporting the greatest cost of goods sold is: a. fifo b. lifo c. average cost d. Specific identification 24. If the cost of an item of inventory is $60 and the current replacement cost is $65, the amount included in inventory according to the lower of cost or market is: a. $5 b. $60 c. $65 d. $125 25. On June 1 , a $10,000,9%,120 day, note was received from Jackson Brown Co., in exchange for an open accounts receivable. The entry to record the receipt of the amount owed by Jackson Brown, on the maturity date, would include: a. A debit to Cash for $100,300 and a credit to Interest Income for $300 b. A debit to Notes Receivable for $100,000 and a credit to Interest Income for $300 c. A debit to Cash for $109,000 and a credit to Interest Income for $9,000 d. A debit to Accounts Receivable for $100,000 and a credit to Notes Receivable for $100,000 26. Internal control over receivables is achieved when the employee who handles the accounting for receivables: a. also is involved with the operating aspects of approving credit b. also is involved with the operating aspects of collecting receivables c. is not involved with the operating aspects of approving credit d. also is involved with authorizing adjustments to receivables 27. A company must estimate what a piece of equipment would sell for at the end of its useful life. This estimated value is called: a. Residual value b. Carrying value c. Book value d. Depreciable value