Which One of the Following Statements Is Not True Concerning

question 98

Multiple Choice

Which one of the following statements is not true concerning the retail inventory method?

• A)Net markups and markdowns are always added and subtracted in order to compute the retail value of ending inventory.
• B)Markups and markdowns are recorded only at retail.
• C)In the lower of average cost or market method, net markups are excluded from the computation of the cost-to-retail ratio.
• D)In computing the cost-to-retail ratio, purchase discounts affect only the cost of purchases and not the retail amount of purchases.

---

Definitions:

Commitment

The state or quality of being dedicated to a cause, activity, or organization, often reflected in willingness to invest time and resources.

Intention to Quit

An employee's deliberate contemplation or decision to leave their current job due to various reasons such as dissatisfaction, better opportunities, or personal reasons.

Personal Power

Power derived from the person rather than from the organization.

Relevant Expertise

Pertains to having knowledge and skills that are directly applicable and valuable to a particular job, task, or situation.