28, what type of account is Allowance for Doubtful Accounts? a. Contra asset account b. Asset account c. Liability account d. Expense account Date 29 Inventory refers to the: a. merchandise held for sale in the normal course of business b. materials sold during the year. c. fixed assets purchased to assist the production process. d. claims arising from the purchase of raw material. The two most widely used methods for determining the cost of inventory are: a. FIFO and LIFO. b. FIFO and average cost. c. LIFO and average cost. d. specific identification and average cost. 31. Using the following information, prepare a bank reconciliation for Murack Co. for May 31, 2015: (a) The bank statement balance is $4,063. (b) The cash account balance is $3,735. (c) Outstanding checks amounted to $640. (d) Deposits in transit are $245 (e) The bank service charge is $40 () A check for $74 for supplies wa recorded on the depositor's books as $47