Assume ABC sells two items and uses the FIFO method of inventory valuation. What amount would appear in ending inventory on the balance sheet?
a. 22
b. 46
c. 45
d. 31
Question 2
Which of the following represents good internal control procedures concerning cash payments?
a. Allow anyone to access petty cash.
b. Make sure that all cash payments are made by check (with the exception of petty cash).
c. Assign an employee responsibility of preparing the checks, signing the checks, and preparing the bank reconciliation.
d. Keep check supplies available to all employees.
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