Which Statement Is NOT True About the Gross Profit Method

question 166

Multiple Choice

Which statement is NOT true about the gross profit method of inventory valuation?

• A) It may be used to estimate inventories for interim statements.
• B) It may be used to estimate inventories for annual statements.
• C) It may be used by auditors.
• D) It may be used to provide a rough check on the accuracy of the physical inventory count.

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Definitions:

Gynecology

The branch of medicine dealing with the functions and diseases specific to women and girls, especially those affecting the reproductive system.

Estimated Date of Confinement (EDC)

The projected date when a pregnant woman is expected to give birth, often calculated from the date of the last menstrual period.

Trimester

Divided into three sections; the third segment or period.

Alpha-Fetoprotein (AFP)

Alpha-Fetoprotein is a protein produced by the liver of a fetus, levels of which in maternal blood can indicate certain conditions.