Question
Accounting Term Definition
1. Specific identification
2. Materiality concept
3. Last-in, first-out (LIFO) a. Treats the oldest inventory purchases as the first units sold.
4. Conservatism
5. Consistency principle h. Principle that states significant items must conform to GAAP.
6. Weighted-average
7. Disclosure principle e. Principle whose foundation is to exercise caution in reporting financial statement items.
8. First-in, first-out (FIFO) f. Treats the most recent/newest purchases as the first units sold.
1. Specific identification
2. Materiality concept
3. Last-in, first-out (LIFO) a. Treats the oldest inventory purchases as the first units sold.
4. Conservatism
5. Consistency principle h. Principle that states significant items must conform to GAAP.
6. Weighted-average
7. Disclosure principle e. Principle whose foundation is to exercise caution in reporting financial statement items.
8. First-in, first-out (FIFO) f. Treats the most recent/newest purchases as the first units sold.
Answers
GPT-4o mini
Here’s a matching of the accounting terms with their definitions:
1. **Specific identification** - (The process of tracking and identifying the cost of each specific item of inventory).
2. **Materiality concept** - h. Principle that states significant items must conform to GAAP.
3. **Last-in, first-out (LIFO)** - f. Treats the most recent/newest purchases as the first units sold.
4. **Conservatism** - e. Principle whose foundation is to exercise caution in reporting financial statement items.
5. **Consistency principle** - (The principle that requires a company to use the same accounting methods from year to year).
6. **Weighted-average** - (An inventory valuation method where the cost of goods available for sale is divided by the number of units available).
7. **Disclosure principle** - (The accounting principle that requires financial statements to disclose all relevant information).
8. **First-in, first-out (FIFO)** - a. Treats the oldest inventory purchases as the first units sold.
Here is the completed matching:
1. **Specific identification** - [Definition Needed]
2. **Materiality concept** - h. Principle that states significant items must conform to GAAP.
3. **Last-in, first-out (LIFO)** - f. Treats the most recent/newest purchases as the first units sold.
4. **Conservatism** - e. Principle whose foundation is to exercise caution in reporting financial statement items.
5. **Consistency principle** - [Definition Needed]
6. **Weighted-average** - [Definition Needed]
7. **Disclosure principle** - [Definition Needed]
8. **First-in, first-out (FIFO)** - a. Treats the oldest inventory purchases as the first units sold.
Please provide definitions for Specific identification, Consistency principle, Weighted-average, and Disclosure principle for complete understanding.
1. **Specific identification** - (The process of tracking and identifying the cost of each specific item of inventory).
2. **Materiality concept** - h. Principle that states significant items must conform to GAAP.
3. **Last-in, first-out (LIFO)** - f. Treats the most recent/newest purchases as the first units sold.
4. **Conservatism** - e. Principle whose foundation is to exercise caution in reporting financial statement items.
5. **Consistency principle** - (The principle that requires a company to use the same accounting methods from year to year).
6. **Weighted-average** - (An inventory valuation method where the cost of goods available for sale is divided by the number of units available).
7. **Disclosure principle** - (The accounting principle that requires financial statements to disclose all relevant information).
8. **First-in, first-out (FIFO)** - a. Treats the oldest inventory purchases as the first units sold.
Here is the completed matching:
1. **Specific identification** - [Definition Needed]
2. **Materiality concept** - h. Principle that states significant items must conform to GAAP.
3. **Last-in, first-out (LIFO)** - f. Treats the most recent/newest purchases as the first units sold.
4. **Conservatism** - e. Principle whose foundation is to exercise caution in reporting financial statement items.
5. **Consistency principle** - [Definition Needed]
6. **Weighted-average** - [Definition Needed]
7. **Disclosure principle** - [Definition Needed]
8. **First-in, first-out (FIFO)** - a. Treats the oldest inventory purchases as the first units sold.
Please provide definitions for Specific identification, Consistency principle, Weighted-average, and Disclosure principle for complete understanding.