A major advantage of the retail inventory method is that it
a. provides reliable results in cases where the distribution of items in the inventory is different from that of items sold during the period.
b. hides costs from competitors and customers.
c. gives a more accurate statement of inventory costs than other methods.
d. provides a method for inventory control and facilitates determination of the periodic inventory for certain types of companies.
Answer: d. provides a method for inventory control and facilitates determination of the periodic inventory for certain types of companies.
You might also like to view...
Under the terms of an open listing, more than one broker may represent a seller. In order to earn and collect a commission, which of the following is a requirement for a broker with an open listing?
a. he must put the listing on the MLS (Multiple Listing Service) b. the listing must have a termination date c. he must be the procuring cause for the sale d. he must notify all other brokers with an open listing on the property of the sale within 2 days after acceptance of an offer
Low-level coding means that:
A) a final item has only a few levels in the BOM structure. B) the code being used is the code for the lowest level in the BOM structure. C) a component item is coded at the lowest level at which it appears in the BOM structure. D) the top level of the BOM is below level zero and that BOMs are not organized around the finished product. E) the lowest-paid staff member in the production department performs the coding.