33. Which statement about the LIFO inventory valuation method is true? a. LIFO liquidations occur when...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
33. Which statement about the LIFO inventory valuation method is true? a. LIFO liquidations occur when units purchased exceed units sold. b. LIFO gives a current valuation for ending inventory on the balance sheet. c. A LIFO layer is a group or block of units purchased at a certain unit cost. d. The LIFO conformity rules states that if LIFO is used for financial statements, it must be used for tax returns. 34. Say a company purchases common stock, and we call this treasury stock. What will not happen because of this treasury stock purchase (everything else staying the same)? a. b. C. d. Earnings per share will increase Treasury stock will show as a contra-stockholders' equity account on the balance sheet The company will show a gain from purchase of treasury stock on the income statement Fewer shares of common stock are outstanding. 33. Which statement about the LIFO inventory valuation method is true? a. LIFO liquidations occur when units purchased exceed units sold. b. LIFO gives a current valuation for ending inventory on the balance sheet. c. A LIFO layer is a group or block of units purchased at a certain unit cost. d. The LIFO conformity rules states that if LIFO is used for financial statements, it must be used for tax returns. 34. Say a company purchases common stock, and we call this treasury stock. What will not happen because of this treasury stock purchase (everything else staying the same)? a. b. C. d. Earnings per share will increase Treasury stock will show as a contra-stockholders' equity account on the balance sheet The company will show a gain from purchase of treasury stock on the income statement Fewer shares of common stock are outstanding.
Expert Answer:
Answer rating: 100% (QA)
33 Which statement about the LIFO inventory valuation method is True The correct answer is C A LIFO layer is a group or block of units purchased at a certain unit cost Explanation answer a LIFO liquid... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Sparkle is one firm of many in the market for toothpaste, which is in long-run equilibrium. a. Draw a diagram showing Sparkles demand curve, marginal-revenue curve, average total- cost curve, and...
-
Refer to the information in Problem 20-5B. Assume that Switch uses the FIFO method to account for its process costing system. The following additional information is available. In Problem 20-5B,...
-
Use statistics software to make a histogram of this data set: 44, 45, 51, 40, 28, 46, 34, 19. a. Based on the histogram, predict what a box plot of the data will look like. b. Use the software to...
-
How is arbitration commenced?
-
The Public Safety office at Millennium College maintains a list of parking tickets issued to vehicles parked illegally on the campus. Table 4-6 shows a portion of this list for the fall semester....
-
Lorenzo Company applies overhead to jobs on the basis of direct materials cost. At year-end, the Work in Process Inventory account shows the following. Work in Process Inventory Debit Credit...
-
In April 2005, the SEC announced settlement with Coca- Cola Company of charges of fraud and false and misleading financial reporting. The charges arose from gallon push-ing at Coca- Colas Japanese...
-
A single-lane bridge connects the two Vermont villages of North Tunbridge and South Tunbridge. Farmers in the two villages use this bridge to deliver their produce. the neighboring town. The bridge...
-
The stagnation pressure in a Mach 2 wind tunnel operating with air is \(900 \mathrm{kPa}\). A 1.0-cm-diameter sphere positioned in the wind tunnel has a drag coefficient of 0.95 . Calculate the drag...
-
An aluminum tube of inner diameter \(D_{i}=1 \mathrm{~mm}\) and wall thickness \(0.1 \mathrm{~mm}\) is used to transport a warm biological fluid. The tube is coated with \(N=500\) alternating layers...
-
Consider the following three jobs: Job Alpha requires 2 weeks of work and is due in 4 weeks. Job Beta requires 3 weeks of work and is due in 5 weeks. Job Carlos requires 1 week of work and is due in...
-
Two streams of steam, one at \(2 \mathrm{MPa}, 300^{\circ} \mathrm{C}\) and the other at \(2 \mathrm{MPa}, 400^{\circ} \mathrm{C}\), mix in a steady flow adiabatic process. The rates of flow of the...
-
Water leaves a pump at \(200 \mathrm{kPa}\) and a velocity of \(12 \mathrm{~m} / \mathrm{s}\). It then enters a diffuser to increase its pressure to \(250 \mathrm{kPa}\). What must be the ratio of...
-
Alice's brother, Edward, received a Notice of Deficiency from the IRS proposing an increase for his 2017 income taxes. The IRS claims he failed to report $10,000 in contractor income. Edward received...
-
True & False The basis of an asset must be reduced by the depreciation allowable, 2. Adjusted gross income (AGI) is the basis for a number of phase-outs of deductions. 3. A change to adjusted gross...
-
On January 1, the wholly-owned Mexican affiliate of a Canadian parent company acquired an inventory of computer hard drives for its assembly operation. The cost incurred was 15,000,000 pesos when the...
-
What was the reason for Japans Big Bang, and what changes in accounting practice have resulted from it?
-
Refer to Exhibit 3-6. Required: Which countrys GAAP appears to be the most oriented toward equity investors? Which countrys GAAP appears to be the least oriented toward equity investors? Why do you...
-
Clausius-Clayperon equation is applicable to (a) Solid-vapour (b) Solid-liquid (c) Liquid-vapour (d) All of these.
-
The reaction \(A(\mathrm{l}) ightarrow R(\mathrm{~g})\) is allowed to reach equilibrium condition in an autoclave. At equilibrium there are two phases - one a pure liquid phase of \(A\) and the other...
-
The equilibrium constant for the reaction \(\mathrm{N}_{2}(\mathrm{~g})+3 \mathrm{H}_{2}(\mathrm{~g}) ightarrow 2 \mathrm{NH}_{3}\) is 0.1084 . Under the same conditions, the equilibrium constant for...
Study smarter with the SolutionInn App