353) Allocation is primarily as issue in
A) Measuring Income
B) None of the other three
C) Measuring Assets
D) Both Measuring Assets and Income
354) Usually we pick up Income at:
A) Acquisition of Inventory
B) Collection of a Receivable
C) Point of Sale
355) At the beginning of 2018, ABC began offering a I-year warranty on its products. The warranty program was expected to cost ABC 4% of net sales. Net sales made under warranty in 2018 were $180 million. Five percent of the units sold were returned in 2018 and repaired or replaced at a cost of $5.3 million. The amount of warranty expense on ABCs 2018 income statemient is:
A) $27.0 million.
B) $9.0 million.
C) S7.2 million.
D) $13 million.
356) Of the following inventories I) Raw Materials Inventory, 2) Work in Process Inventory, 3) Finished Goods Inventory, how many would you find in a factory?
A) One
B) None
C) Three
D) Two
357) ABC has beginning inventory for the year of $18,000. During the year, ABC purchases inventory for $230,000 and has cost of goods sold equal to $233,000. ABC's ending inverntorý equals
A) $21,000
B) $18,000.
C) $15,000.
D) $19,000
358) ABC buys widgets for $5 cash and sells them on account for $8. From a cash now perspective the receivable is valued at?
A) $8
B) S5
C) $0
D) $3
359) The account "Warranty Liability"
A) is closed at the end of the year.
B) is adjusted at the end of the year.
C) is credited each time a warranty repair is made.
D) has a year-end credit balance equal to the cost of warranty repairs made daring the esir.
360) The year end adjusting entry for warranties Debits
A) an expense
B) an income account
C) an asset
D) a liability
