Exam 15.1n a period of rising prices, FIFO will have aower ne income than LIFO lower cost of goods sold than LIFO lower inoome tax expense than LIFO. dlower net purchases than LIFO 16 The inventory tumover is computed by dividing cost of goods sold by a beginning inventory. b ending inventory average inventory. a 365 days. 17. Barley Company developed the following information about its inentories in applying the lower-of-cost-or-et realizable value (LCNRV) basis in valuing inventories Product Net Realizable Value $120.000 73,000 162.000 Cost $115,000 80,000 158.000 B C if Barley applies the LCNRV basis, the value of the inventory reported on the balance sheet would be a$346,000. b $353.000 $355,000. d. $362,000. 18.1nterest is usually associated with a accounts receivable. b. notes receivable. doubtful accounts. c. d. bad debts The term "receivables" refers to a amounts due from individuals or companies. b. merchandise to be collected from individuals or companies. c. cash to be paid to creditors. d. cash to be paid to debtors. 19. 20.Homeplate sells softhall equipment. On November 14, they shipped $4,000 worth of softhall uniforms to Bonita Middle School, terms 2/10, n/30. On November 21, they received an order from Vista High School for $1,500 worth of custom printed bats to be produced in December. On November 30, Bonita Middle School returned $200 of defective merchandise. Homeplate has received no payments from either school as of month end. What amount will be recognized as net accounts receivable on the balance sheet as of November 30? a. $3,800 b. $4,000 c. $5,300 d. $5,500