Which of the Following Statements Is True

question 178

Multiple Choice

Which of the following statements is true?

• A)Inventory data can be identified and controlled better under the perpetual system.
• B)Inventory can only be sold at the end of an accounting period under the periodic system.
• C)There is no difference in cost to implement a perpetual as compared to a periodic system.
• D)The perpetual system eliminated the need for an annual inventory count.

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Definitions:

Indirect Subsidy

Financial support or assistance given indirectly through actions such as tax breaks or other benefits that reduce the cost or increase the revenue of certain entities.

Basic Types

Denotes fundamental categories or classifications within a broader concept, subject, or field.

North American Free Trade Agreement

An agreement among the United States, Canada, and Mexico designed to remove tariff barriers between the three countries.

Signatories

The people, countries, or entities that have signed an agreement, especially a country that has signed a treaty.