B) the sale of used goods is included. Which of the following is the total cost (TC) of the inventory given an annual demand of 10,000, setup cost of $32, a holding cost per unit per year of $4, an EOQ of 400 units, and a cost per unit of inventory of $150? Which of the following … Investment decision and capital budgeting are not considered different acts in business world. Which of the following costs are not included in finished goods inventory? Work in process. Changes in inventories (inventory investment) can be either positive or negative. The essential elements to take into account when assembling your inventory include: ... but are typically reasonable and can require only a minimal investment upfront. $1,498,200 c. The accounting for long-term debt investments is similar to the accounting for short-term debt investments. (d) None of the above. In investment decision, the word ‘Capital’ is exclusively understood to refer to real assets which may assume any shape viz. $1,501,600 B. Pages 94; Ratings 89% (44) 39 out of 44 people found this document helpful. The investment is initially recorded at cost. Which of the following costs do not come under inventory carrying cost calculation? Answered By (c) Goods in transit from another company shipped FOB shipping point. Audit Assertions for Inventory. They can also include personal property that may or may not have much value, such as artwork, memorabilia, and electronics. finished goods inventory; Inventory doesn’t include capital assets such as: company cars you use to visit clients; equipment and tools you use in your business; staff and their training; Raw materials inventory. B) Accounts Receivable. Inventory investment is investing in raw materials or other goods awaiting sales. Done right, it allows companies to assess their current state concerning assets, account balances and financial reports. C) Milton Friedman. Which of the following would not be included in operating assets in return on investment calculations? The change in business inventories is also included as investment. Inventory is easy to recognize and measure on the balance sheet if you keep in mind those simple rules – make sure all required costs are included and consider also the subsequent measurement. The part left of the equal sign is supply and the part on the right is demand. C) production for inventory is not included. B) John Maynard Keynes. Dropship. Inventory items can fall into one of the following three categories: Held for sale in the ordinary course of business; or. Raw materials inventory are raw materials that your business changes to produce its goods and/or services. Inventory control enables the maximum amount of profit from the least amount of investment in inventory without affecting customer satisfaction. a.direct materials b.factory overhead c.direct labor d.chief financial officer's - 15023884 Likewise, the whole financial statements may be materially misstated due to the over or undervaluation of the inventory. * 1 point Change in stock of finished goods Change in stock of semi- finished goods Change - 18460002 Inventory may not be immediately ready for sale. Which of the following transactions would not be admissible in Dave’s accounting system for the month of March? Which of the following is NOT included in the flow of investment spending that is part of total planned expenditures in the economy? a) Investment in a software for updating stock position… B. Inventories: For a service company, no inventory accounts shall be recorded. 25. Traders who buy and sell for their own account do not treat gains and losses from sales as self-employment income. The cost includes any brokerage fees. Remember. Investment expenditure (I), which we include while calculating GDP has two major components: Business Fixed Investment and Inventory Investment. Which of the following items is NOT included in gross private domestic investment? The misstatement on inventory not only affects the balance sheet but also the income statement. A. A company is planning for its financing needs and uses the basic fixed-order quantity inventory model. Which of the following costs is not included as inventory on the balance sheet. 34. 41. Best answer. Question added by Asad zaman , Audit/Finance , Rafaqat Baber and co Date Posted: 2014/08/06. The following items are not included in self-employment income: Rent from real estate; Capital gains on the sale of property (unless the property is held for sale to customers in the ordinary course of business. 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