Untitled Quiz

Goods owned by one party (consignor) but held and sold by another (consignee).

The owner of goods in a consignment arrangement.

The party who holds and sells consigned goods.

Inventory is counted at the end of the period to determine value.

Inventory records are updated continuously.

Records used in a perpetual inventory system to track inventory.

Inventories are grouped by type (finished goods, raw materials, etc).

Inventories are shown as one line item on the balance sheet.

Checking the actual number of units on hand to confirm inventory records.

A reduction from the listed price to create the invoice price. Not recorded.

A deduction from the invoice price for prompt payment.

Recording purchases and payables at the gross invoice amount.

Ownership of goods transfers to the buyer upon shipment.

Ownership of goods transfers to the buyer upon arrival at the destination.

Recording purchases and payables at the net invoice amount.

Difference between the physical inventory count and the recorded amount.

Buyer pays freight charges after goods are shipped.

The total cost associated with holding and using inventory items.

Seller pays freight charges prior to shipping.

Seller delivers goods alongside ship; buyer takes ownership there.

Seller pays for goods, insurance, and freight; ownership transfers when goods are delivered to carrier.

Seller's responsibility ends when goods are unloaded; ownership transfers then.

Rules determining ownership and who pays expenses during transit.

An estimate of the amount of bad debts expected to be uncollectible from credit customers.

A contra-asset account used to offset the value of receivables.

A method of estimating doubtful accounts expense that bases the amount on a percentage of sales.

Amounts owed to a company by its customers for goods or services.

Assets held for sale, in production for sale, materials, or supplies in production, or services.

Inventory of goods bought and resold in the same form.

A specific term for the inventory of a trading concern.

Expense is recognized in the period in which the related revenue is generated.

The price of buying inventory, including import duties, taxes, and costs directly related to getting the finished goods, materials, or services.

The costs directly tied to turning raw materials into finished products. This includes direct labor and allocated production overhead.

Indirect production costs that remain relatively constant, regardless of production volume.

Indirect production costs that change based on production volume.

The expected production level considering planned maintenance and potential production losses over a specific period (e.g., a season).

Distributing fixed overhead costs to each unit of production based on normal capacity.

Distributing variable overhead costs to each unit of production based on actual production activity.

Inventory costing method where the first items purchased are assumed to be the first items sold.

Inventory costing method that calculates the average cost of all goods available for sale and then applies this average to determine the cost of goods sold and ending inventory.

Inventory valuation method; if the net realizable value (selling price less costs of completion and disposal) is lower than the cost of inventory, inventory is written down to the net realizable value.

Estimated selling price less costs to complete and sell.

Methods for assigning costs to inventory when calculating the cost of goods sold (COGS).

Direct cost of products a business sold during a period.

Assigning monetary value to the items in inventory.

Inventory that is no longer useful or sellable.