1. Net realizable value is

a. acquisition cost plus estimated costs to complete and sell

b. estimated selling price less estimated cost to complete and sell

c. estimated selling price less estimated costs to complete and sell and normal profit.

d. estimated selling price.

2. What inventory system would you expect to find in the following situations? A. Diamond ring department of a jewelry store B. Hardware and construction supplies store C. Drugstore chain D. Automobile dealerships - new car department

Perpetual for A, B and D; Periodic for C

Perpetual for A and C; Periodic for B and D

Perpetual for A and D; Periodic for B and C

Perpetual for A, B and C; Periodic for D

3. Which of the following occurs/takes place under the gross price method of recording purchases?

a. Purchase discount is recorded when payment is made within the discount period.

b. Purchase discount lost is recorded when payment is made after the discount period.

c. Purchase discount is recorded when payment is made after the discount period.

d. Purchase discounts lost is recorded when payment is made within the discount period.

e. Option 5