{Quin each accounting period, a manager can select the inventory costing method that yields the highest net income. TrueorFalse [31LIFD and weighted average results will he the same using either a perpetual or periodic system. True or False [lWhich of the following statements is correct":I - {MSpecic identication is the most practical. but least accurate, measure of cost and net income {BJWhen unit costs are increasing, the weighted average cost method yields a cost ofgoods sold between that ofFIFD and LIFO. {QJFIFU will lead to the highest net income if unit costs are falling. {lLlIFD will always yield a smaller net income than FIFO. {Which inventory method is typically used when accounting for expensive and unique inventory items? i {A} Specic idenlieaon {a} mo {C} mm {D} Weighted Average Cost {3m Diamonds uses a periodic inventory system. The company had five one-carat diamonds available for sale this year. one was purchased on June 1 for $50D, two were purchased on July 9 for $551] each1 and two were purchased on September 23 for IlilS-illil' each. [in December 24, it sold one ofthe diamonds that was purchased on July 9. Using the LlFD method, its ending inventory [after the December 24 sale} equals: W mass. (mason. We {llhe Ll'FD Conformity Rule requires that LIPID be used: " {A} furuanoial reporting ifit is used on the company's income tax retm'n. (B) futboth l'FRS and Em. (C) maesounng period even when prices are rising. {D} bxall companies in the same industry {Eln adjustment to ending inventory under the lower of east or marketfnet realizable value {LClvNRW rule would be least likely to be recorded by a company that sells: " {A} abomehnld staple like laundry detergent {B} a dproduet like Slap Wraps bracelets. (C) seasonal items like snow blowers. {D} high-tech goods like cell phones. {Ej'lhe process of buying and selling inventory is lmown as inventory: - {A} mm {Emmett-.111. (C) hammer. {D} slim {EJConneot lno. uses a perpetual inventory system. The following transactions tool: place during the month ofAugust: lfConneet uses the LlFICIJI method1 what is the ending inventory at August 31? 25 units were purchased at $12 per unit: It} units were purchased at $13 per unit ' August 15 12 units were sold at $25 per unit 15 units were purchased at. $14 per unit - (A) $495.00 {3) $435.00 (C) $492.50 to} $300.00 ($3510.00