75-80

75. The weighted-average method: a. calculates an average,unit cost by dividing the total cost of goods sold by the total b. calculates an average unit cost by dividing the total cost of goods available for sale by c. calculates an average unit cost by adding the total cost of goods available for sale to d. None of the above. units sold the total units of goods available for sale the total units of goods available for sale 76. One advantage of the LIFO method is that: a. an equal cost is assigned to each unit, so net income does not fluctuate as much as with other methods b. flow of goods and flow of costs are the same c. it matches current selling prices and current costs d. ending inventory is valued at very old costs 77. The principle of consistency states that: a. changes in accounting methods should occur from one fiscal period to the next b. a company cannot change from one inventory valuation method to another c. a company should switch from LIFO to FIFO every other period d. by using the same method, the financial statements are more meaningful 78. Goods that are consigned to another party: a. belong to the other party because title has passed b. belong to the company that has consigned them c. belong to the consignor d. b and c only 79. Chewy Candy has a beginning inventory of $1,000 with a retail value of $1,800. June purchases were $3,000, with a retail value of $4,700 and retail sales were $4,200. What is the June 30 estimated ending inventory at cost under the retail method? a. $351 b. $949 c. $4,161 d. $1,416 80. The entry to record the disposal of a laptop computer with a cost of $2,500 and an accumulated depreciation of $1,500 would be a. debit Depreciation Expense, $2,500; credit Equipment $2,500 b. debit Accumulated Depreciation $1,500; debit Loss on Disposal of an Asset $1,000; credit Equipment $2,500 c. debit Equipment $2,500; credit Accumulated Depreciation $2,500 d. debit Cash $2,500; credit Equipment $2,500