The fasb accounting standards codification represents

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TheFASB Accounting Standards Codification represents the single source of authoritative U.S. generally accepted accounting principles. The specific citation for each of the following items is:1.Define the meaning of cost as it applies to the initial measurement of inventory.Exercise 8-12
Chapter 08 - Inventories: MeasurementFASB ASC 330–10–30–1: “Inventory–Overall–Initial Measurement.”
2.Indicate the circumstances when it is appropriate to initially measure agricultural inventory at fair value.
Chapter 08 - Inventories: MeasurementExercise 8-12 (concluded)3.What is a major objective of accounting for inventory?
4.Are abnormal freight charges included in the cost of inventory?
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Chapter 08 - Inventories: MeasurementCost of goods available for sale (18,000 units)$97,200Less: Ending inventory(determined below)(17,700)Cost of goods sold$79,500Cost of ending inventory:Date of purchaseUnitsUnit cost Total costBeg. Inv.2,000$6.10$12,200August 81,0005.505,500Total$17,7008-25

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