The balance sheet, in which all the costs of the product that must be considered as its assets, is said to be
Correct answer: C. Inventoriable Costs
- A. factory overhead costs
- B. manufacturing overhead costs
- C. Inventoriable Costs
- D. finished costs
Explanation
Inventoriable costs are product costs initially recorded as inventory assets on the balance sheet and expensed as cost of goods sold when the goods are sold. Manufacturing overhead and other production costs can form part of these inventoriable costs.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? support@testustad.com
About Financial Statements
Financial statements present a business's financial performance and position through the income statement, statement of financial position, cash flow statement and changes in equity. Questions involve preparing and interpreting these statements, adjusting entries, depreciation, closing inventory, accrued and prepaid items, and distinguishing profit from cash flow.
Practise Financial Statements
128 free Financial Statements MCQs from Accounting, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Exams that ask Accounting questions like this
Accounting is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Financial Statements questions
If an actual result in static budget is $2500 and the corresponding budgeted amount is $2200, then the static budget variance will be __________?
The gross margin is added into cost of sold goods to calculate the __________?
The gross margin is divided by revenues to calculate the __________?
An inventory, which consists of partially worked goods is called _____________?
Non Trading institution prepare:______________?
If the asset turnover and profit margin of a company are 1.85 and 0.35 respectively, the return on investment is.