The Gross Profit Method Is Often Used to Estimate the Cost

question 69

Multiple Choice

The gross profit method is often used to estimate the cost of ending inventory. The gross profit method should not be used to ________.

• A) determine the cost of ending inventory during an interim period without performing a physical count
• B) determine the cost of ending inventory for an annual financial statement
• C) determine the cost of inventory that has been stolen or destroyed
• D) develop budgets

---

Definitions:

Vocational Interest Tests

Assessments designed to identify an individual's preferences and inclinations towards certain professions or career paths.

Conscientiousness

Refers to a personality trait marked by diligence, meticulousness, and a strong sense of duty.

Vocational Interest

Refers to preferences and inclinations towards certain professions or occupational activities, often used to guide career choices and development.

Experimental Drug

An experimental drug is a medication or therapy not yet approved by regulatory authorities for public use, currently being tested for its safety and effectiveness.