The lower-of-cost-or-market method is used for inventory despite being less conservative than valuing inventory at market value.

If the type of departmentalization used by an organization tends to emphasize departmental units rather than the organization as a whole and decision making is slow, then these would be weaknesses indicative of _____ departmentalization.

Fill in the blank(s) with the appropriate word(s).

The current ratio measures a company's ________

A) overall ability to pay liabilities B) ability to pay current liabilities with current assets C) proportion of assets that are financed by debt D) rate of cash flow