Caves and their features form when rainwater follows the cracks or joints in the rock material, usually limestone or dolomite. The rainwater combined with carbon dioxide forms a weak acid called carbonic acid. This weak acid once in contact with the limestone begins to dissolve the limestone. This process slowly creates larger and larger crack and joints.
A service contract inventory assists an agency in better understanding how contracted services support the mission and operations and whether the contractorsâ skills are utilized in an appropriate manner.
The contract was exercised on February 1, 2017 and the inventory was purchased for cash at the contract price. On the purchase date of February 1, the market price of the inventory was $368,000. The market price of the inventory on December 31, 2016, was $332,000. The company uses a perpetual inventory system.