Which inventory costing method results in the lowest net income during a period of rising inventory costs?

a$.$ Weighted$-$average

b$.$ Specific identification

c$.$ First$-$in$,$ first$-$out $($FIFO$)$

d$.$ Last$-$in$,$ first$-$out $($LIFO$)$

Which of the following is most closely related to accounting conservatism?

a$.$ Lower of cost or market

b$.$ Materiality concept

c$.$ Disclosure principle

d$.$ Consistency principle

Separation of duties is important for internal control of

a$.$ Cash receipts

b$.$ Cash payments

c$.$ Neither of the above

d$.$ Both a and $b$

Payments by check is an important internal control over cash payments because

a$.$ The check must be signed by an authorized official

b$.$ Before signing the check, the official reviews the invoice supporting the payment

c$.$ Both a and $b$

d$.$ None of the above

When recording credit card or debit card sales using the net method

a$.$ Cash received equals sales

b$.$ Cash received equals sales minus the fee assessed by the card processing company

c$.$ Cash received equals sales plus the fee assessed by the card processing company

d$.$ Cash isn't received by the seller until the customer pays his or her credicard statement

When using the allowance method, what account is debited when writing off a account receivable

a$.$ Accounts receivable

b$.$ Bad debt expense

c$.$ Allowance for Doubtful Accounts

d$.$ None of the above