a classified balance sheet, inventory is classified as B) property, plant, and equipment C) a curent asset Operating Expenses Sales Returns and Allowances Sales Discounts Sales Revenue Cost of Goods Sold S 45,000 9,000 6,000 160,000 87,000 The amount of net sales on the income statement would be A) $145,000. B) $151,000. C) $154,000. D) $160,000. 8. Inventory is A) reported under the classification of Property, Plant, and Equipment on the balance B) often reported as a miscellaneous expense on the income statement C) reported as a current asset on the balance sheet D) generally valued at the price for which the goods can be sold. 9. Cost of goods sold is computed from the following equation: A) beginning inventory- cost of goods purchased+ending inventory B) sales -cost of goods purchased + beginning inventory-ending inventory C) sales + gross profit- ending inventory+beginning inventory D) beginning inventory + cost of goods purchased-ending inventory The LIFO inventory method assumes that the cost of the latest units purchased are A) the last to be allocated to cost of goods sold. B) the first to be allocated to ending inventory C) the first to be allocated to cost of goods sold. D) not allocated to cost of goods sold or ending inventory 10. 11. Internal control is defined, in part, as a plan that safeguards A) all balance sheet accounts B) assets. C) liabilities. D) capital stock