快速查题-ACCA英国注册会计师试题

Are the following statements true or false?

Statement                                                                                                 True                  False

In periods of rising prices, FIFO gives a higher valuation of

closing inventory than LIFO or AVCO.  

In periods of falling prices, LIFO gives a higher valuation of

issues of inventory than FIFO or AVCO.  

AVCO would normally be expected to produce a valuation of

closing inventory somewhere between valuations FIFO and LIFO.  

FIFO costs issues of inventory at the most recent purchase price.  

AVCO costs issues of inventory at the oldest purchase price.  

LIFO costs issues of inventory at the oldest purchase price.  

FIFO values closing inventory at the most recent purchase price.  

LIFO values closing inventory at the most recent purchase price.  

AVCO values closing inventory at the latest purchase price.  

Which TWO of the following are included in the cost of holding inventory?

Which of the following is in the correct chronological sequence for purchase documents?

Which of the following describes a purchase order?

When charging direct material cost to a job or process^ the details would be taken from which document?

The following relate to the management of raw materials:(i) Holding costs per unit of inventory would increase(ii) The economic order quantity would decrease(iii) Average inventory levels would increase(iv) Total ordering costs would decreaseWhich of the above would result from the introduction of buffer (safety) inventory?

Which of the following is least relevant to the simple economic order quantity model for inventory?

The following documents are used in accounting for raw materials:(i) goods received note(ii) materials returned note(iii) materials requisition note(iv) delivery noteWhich of the documents may be used to record raw materials sent back to stores from production?

Which of the following documents should be checked before a purchase invoice is paid, to confirm that the price and quantities are correct?

A manufacturing company uses 28,000 components at an even rate during the year. Each order placed with the supplier of the components is for 1,500 components, which is the economic order quantity. The company holds a buffer inventory of 700 components. The annual cost of holding one component in inventory is $B.

What is the total annual cost of holding inventory of the component?

       $ O