Which of the Following Statements Regarding Shrinkage Is Not True

question 99

Multiple Choice

Which of the following statements regarding shrinkage is not true?

• A)Perpetual inventory systems can help managers detect shrinkage.
• B)Shrinkage is another term for inventory loss due to theft,error,or fraud.
• C)Shrinkage is detected by comparing the balance in the inventory ledger account and the results of the physical inventory count.
• D)It is easier to detect shrinkage in a periodic inventory system than in a perpetual inventory system.

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Definitions:

Osmosis

The movement of water molecules through a semipermeable membrane from a region of lower solute concentration to a region of higher solute concentration to equalize the concentrations on both sides of the membrane.

Active Transport

Transport of molecules across the membrane of a cell from areas where they are less concentrated to areas where they are more concentrated, which demands energy.

ATP

Adenosine triphosphate, a molecule that stores and transfers energy within cells, facilitating various biochemical processes.

Concentration Gradient

A difference in the concentration of a substance across a distance, which drives the passive movement of particles from an area of high to low concentration.