ALDI Was First Started in Germany in 1946 by Brothers

question 51

Multiple Choice

ALDI was first started in Germany in 1946 by brothers Theo and Karl Albrecht. However, it would take 30 years before they took their concept to the United States, opening the first U.S. store in Iowa in 1976. Based on the same concept as the stores in Europe, ALDI now has 1,600 stores in 35 states. ALDI bringing their concept to the United States is an example of:

• A) market development.
• B) market penetration.
• C) diversification.
• D) product development.

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Definitions:

Ending Inventory

The worth of products ready for purchase at the conclusion of a financial period.

Cost Flow Assumption

A method adopted by businesses to value inventory and determine the cost of goods sold, such as FIFO (First In, First Out) or LIFO (Last In, First Out).

FIFO

"First In, First Out," an inventory valuation method assuming that the first items purchased are the first ones sold, affecting the cost of goods sold and ending inventory value.

Specific Identification

An accounting method used for inventory costing, where each item in inventory is identified and its cost is individually recorded.