Answer:
False
Explanation:
Cash larceny is the action of stealing company cash already been registered in the books of accounts for a specific accounting period. An employee of the company perpetrates the theft. It involves the employee scheming and executing the taking away of cash recorded in the books without the employer's authority.
Cask larceny happens in the cash register, in the safe, or from cash deposits in transit. In most instances, larceny involves small amounts of money. As the cash is recorded in the books of accounts, larceny can be detected with proper cash reconciliation.
Answer:
Option d Cost of goods sold $620; Ending inventory $180 is the correct answer.
Explanation:
Under the periodic FIFO or First In First Out of inventory valuation, we calculate the value of inventory available for sale and at the end of the period we calculate the cost of goods sold by taking the first purchased inventories to be the ones that are sold first.
Thus, under the FIFO method, the cost of goods sold comprises of the cost of inventories that were purchased first and the cost of ending inventory comprises of the cost of most recently purchased inventories.
Jan 1 Beginning Inventory ( 140 * 4) = 560
June 2 Purchase (80 * 3) = <u> 240</u>
Cost of goods available for sale = 800
On November 5, 160 units are sold. Out of these 160 units, under FIFO, 140 units are from the beginning inventory and the remaining 20 units from June purchases.
So, Cost of goods sold is,
COGS = 140 * 4 + 20 * 3
COGS = 620
Ending inventory = 800 - 620 = 180