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Goods available for sale Ending inventory = Cost of goods sold it can be seen that if the ending inventory is overstated then the cost of goods sold will be understated and net pro t overstated. Likewise, if in ventory is understated then cost of goods sold will be overstated and net pro t understated. Clearly, the method chosen for inventory computation can have a marked effect upon the pro t of a company. There is no one method that is the best, but the rm must consider the following factors to help make the decision: 1. The effect on the income statement and the balance sheet. 2. The effect on taxable income. 3. The effect on the selling price. The following evaluations can be made concerning the three valua tion methods: FIFO 1. Yields the lowest amount of cost of goods sold (COGS) 2. Yields the highest amount of gross pro t 3. Yields the highest amount of ending inventory



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Fig. 17-9





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The way in which points on the earth s surface are located is better understood if we think of the earth as a sphere formed by rotating semicircle NQS in Fig. 17-10, which runs through Greenwich, England (near London), about NS as an axis. Point O, halfway between N and S, generates the equator, EQ. Points A and B generate parallels of latitude, which are small circles on the earth s surface parallel to the equator. Each position of the rotating semicircle is a semi-meridian, or longitude. (A meridian is a great circle passing through the North and South Poles.) The meridian through Greenwich is called the Prime Meridian. Using the intersection of the equator and the Prime Meridian as the origin, we would locate New York City r r at 40 481 North Latitude and 73 571 West Longitude. The heavy arc shown on the globe is an arc of a great 2 2 circle through New York City and London. Such an arc is the shortest distance between two points on the earth s surface. We could find this line by stretching a rubber band tightly between New York City and London on a globe.

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Regular polyhedra are solids having faces that are regular polygons, with the same number of faces meeting at each vertex. There are only five such solids, shown in Fig. 17-11. Note that their faces are equilateral triangles, squares, or regular pentagons.

Regular Tetrahedron (4 faces)

Regular Hexahedron (6 faces)

Regular Octahedron (8 faces)

Note!

Regular Dodecahedron (12 faces)

Regular Icosahedron (20 faces)

becomes vastly more critical. To migrate from HTML to XML is not di cult, but the details are very important. Here are some of the key di erences between XML and HTML: XML is a content markup language; HTML is a presentation markup language. XML allows user-de ned elements; HTML elements are prede ned. XML requires validation; in HTML, almost anything goes. XML is data-driven; HTML is display-driven. XML allows data exchange between software applications; HTML is designed for visual presentation. XML is strictly de ned and interpreted; HTML is very loosely interpreted. XML elements must be closed; in HTML, empty elements do not need to be closed.

Fig. 17-11

Regular hexagons cannot be faces of a regular polyhedron. If three regular hexagons had a common vertex (Fig. 17-12), the sum of the measures of the three interior angles at that vertex would be 3(120 ) or 360 . As a result, the three regular hexagons would lie in the same plane, so they could not form a solid.

Fig. 17-12

Sphere in space geometry corresponds to circle in plane geometry. Similarly, plane corresponds to straight line. By interchanging circle and sphere, or straight line and plane, each of the following dual statements can be interchanged. When you do so, many plane geometry principles with which you are acquainted become space geometry principles. Related Dual Statements 1. Every point on a circle is at a distance of one radius from its center. 2. Two intersecting straight lines determine a plane.

1. Every point on a sphere is at a distance of one radius from its center. 2. Two intersecting planes determine a straight line.

During a period of in ation or rising prices, the use of FIFO will have these effects, but in a declining economy the results will be reversed.

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