Quiz 32: Inventory – Lower of Cost or Market Rule

Test your knowledge of mdct.ru and inventory with our online lower of cost or market rule quiz.

Not Ready for the Lower of Cost or Market Rule Quiz?

If you need a refresher course on this topic update your knowledge using our tutorial about the lower of cost or market rule inventory valuation method.

Start the Inventory – Lower of Cost or Market Rule Quiz

Click on an answer to reveal whether its Right! or Wrong

1. A business presents the following information about a product in its inventory.
Selling price 220.00
Costs to complete 30.00
Normal profit % 60%
Cost 90.00
Replacement cost 75.00
What is the lower or cost or market to be used in the inventory valuation ?
Wrong
Right!
2.A business presents the following information about a product in its inventory.
Selling price 250.00
Costs to complete 40.00
Normal profit 40%
Cost 140.00
Replacement cost 90.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong

3.A business presents the following information about a product in its inventory.
Selling price 300.00
Costs to complete 60.00
Normal profit 37%
Cost 189.00
Replacement cost 226.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong
4. A business presents the following information about a product in its inventory.
Selling price 290.00
Costs to complete 62.00
Normal profit 34%
Cost 191.00
Replacement cost 222.00
What is the lower of cost or market to be used in the inventory valuation ?
Wrong
Right!
5. A business presents the following information about a product in its inventory.
Selling price 280.00
Costs to complete 64.00
Normal profit 31%
Cost 193.00
Replacement cost 213.00
What is the lower of cost or market to be used in the inventory valuation ?
Wrong
Right!
6. A business presents the following information about a product in its inventory.
Selling price 270.00
Costs to complete 66.00
Normal profit 28%
Cost 194.00
Replacement cost 208.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong
7. A business presents the following information about a product in its inventory.
Selling price 260.00
Costs to complete 68.00
Normal profit 25%
Cost 190.00
Replacement cost 200.00
What is the lower of cost or market to be used in the inventory valuation ?
Wrong
Right!
8. A business presents the following information about a product in its inventory.
Selling price 250.00
Costs to complete 70.00
Normal profit 22%
Cost 195.00
Replacement cost 195.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong
9. A business presents the following information about a product in its inventory.
Selling price 240.00
Costs to complete 72.00
Normal profit 19%
Cost 180.00
Replacement cost 110.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong
10. A business presents the following information about a product in its inventory.
Selling price 230.00
Costs to complete 74.00
Normal profit 16%
Cost 193.20
Replacement cost 105.00
What is the lower of cost or market to be used in the inventory valuation ?
Right!
Wrong

Try Another mdct.ru Quiz

The lower of cost or market rule quiz is one of many of our online quizzes which can be used to test your knowledge of mdct.ru, discover another at the links below
Random bookkeeping quizzes for you to test your knowledge.

Quiz 32: Inventory – Lower of Cost or Market Rule December 14th, 2016Team

You May Also Like


Related pages


gaap chart of accountsbudgeted overhead absorption ratenet gearing ratiodebtor day calculationnbv depreciationwhat is lifo methodcollected accounts receivable journal entrymarkup v margin calculatoraverage account receivablesexamples of profitability ratiosaccounting concept and principlesinterest in suspense definitionequivalent units weighted average methodreceivable turnoversample of ledger booktemplate for petty cashcoupon bond exampleexamples of unearned revenueadjusting journal entry exampleswhat is office supplies expense in accountingaccount receivable subsidiary ledgercontra revenue definitionaccounts receivable turnover ratecalculate reducing balance depreciationcalculating paybacksummation formulas examplesday sales outstanding calculationspreadsheet accounts templatedepreciation double declining balanceaccrued expense adjusting entryunearned income journal entryhow to prepare multiple step income statementpost closing trial balance accountswhat is the accounts receivable turnoverhow to calculate average receivablesar days outstanding formulapresent value perpetuity calculatorhigh asset turnoverexcel accounting tutorial pdfsample of a bank reconciliation statementformula for fixed assets coverage ratiocogs formula manufacturingbad debt expense income statement examplewhat account has a normal debit balanceexamples of deferred expensesaccounts payable on trial balanceextended warranty revenue recognitionformula for fv of annuitywhere does treasury stock go on the balance sheethow to calculate inventory variancevaluing perpetuityreceivables turnover days formulasales ledger control accountexamples of reversing entriescalculating markup vs marginpresent value of annuity table excelworksheet example accountingpercentage completion method of accountinghow to amortize bond premiumt charts for accountinginventory accounting entries examplebond amortization calculatorbrs bank reconciliation statementproforma of cash bookformat of petty cash bookmeaning of accrued interestpv of annuity due tablehow to bookkeep with excelledger examples of bookkeepinghow to calculate roce ratiobank rec templateapr to ear formulaaccounting for petty cashexample of capital leasefv annuity calculatorpledging receivablesstep by step bookkeepingaccounting cogsfinancial accounting trial balancejournal entries for deferred tax assets and liabilitieswhat are the efficiency ratiosdepreciation of fixed assets definitiondepreciation entriesfob delivery definitionsum of digits formula