casiomers are known as:

1) Delivering companies.

compunies, la purchase inventories that are primarily in finished form for resale to

B) Service companies.

C) Merchandising companies.

D) Manufacturing companies.

31) Inventory records for Marvin Company revealed the following:

Date

Mar.

Mar.

Mar.

Mar.

Transaction

1 Beginning Inventory

10Purchase

16Purchase

23 Purchase

Number of

Units

1,000

600

800

600

Unit Cost

$ 7.20

7.25

7.30

7.35

Marvin sold 2,300 units of inventory during the month. Ending inventory assuming LIFO would

A) $5,040.

B) $5.055.

C) $5.075.

D) $5.135.

32) Inventory records for Marvin Company revealed the following:

Transaction

Number of

Units

1.000

600

800

600

TInit Cost

$ 7.20

7.25

7.30

7.35

Date

Mar.

Mar.

Mar.

Mar.

1 Beginning Inventory

10Purchase

16Purchase

23 Purchase

Marvin sold 2,300 units of inventory during the month. Cost of goods sold assuming FIFO

would be:

A) $16,800.

B) $16,760.

C) $16,540.

D) $16.660.

33) The following information pertains to Julia & Company:

March

March

1

3

Beginning inventory = 30 units @$5

Purchased 15 units @ $4

23) Kansas Enterprises purchased equipment for 560.000 on lanuar1.2021. The equipmen is

expected to have a five-ycar servicc life, with a residual vialue of 55.000 at the end of five years.

A) $44.000.

Using the straight-line method, the book value nt December 31. 202 . would be:

B) $49.000

C) $55,000.

D) $60,000.

26) Which depreciation method generally will result in the greatest amount af depreciation

expense in the first year of the asset's life?

A) Straight-line.

B) Double-declining balance,

C) Activity-based.

D) Capitalization.

27) A company purchased onice equipment for $1 30.000 on March 1, 2021. The estimated

service life is four years with a S40.000 residual value. The company records partial-ycar

depreciation based on the number of months in service. The balance of accumulated depreciation

for the year ended December 31, 2022, using straight-line depreciation, is:

A) $41,250.

B) $22.500

C) $88.750.

D) $18,750.

28) Bricktown Exchange parchases a copyright for $50,000. The copyright has a remaining legal

life of 25 years, but only an expected useful life of five years with no residual value. Assume the

company uses the straight-line method to record amortization.

What is the amortization expense for the first year?

A) SO.

B) $2.000.

C) $3,333.

D) $10,000.

29) On January 1, 2021, Jacob Inc, purchased a commercial truck for $48,000 and uses the

straight-line depreciation method. The truck has a useful life of eight years and an estimat

residual value of $8,000.

Assume the truck was totaled in an accident on December 31, 2022. What amount of ge

should Jacob Ine, record on December 31, 2022?