Ace Company Is a Retailer Operating in an Industry That

question 102

Multiple Choice

Ace Company is a retailer operating in an industry that experiences inflation (rising prices) .Ace wants to maintain a high current ratio.Which inventory costing method should Ace consider using?

• A)LIFO
• B)Average
• C)FIFO
• D)No inventory costing method directly affects the current ratio.

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Definitions:

Systematic Sampling

Sampling by selecting every nth unit from a population.

Snowball Sampling

A non-probability sampling technique where existing study subjects recruit future subjects from among their acquaintances.

Nonprobability Sampling

A sampling technique where the samples are gathered in a process that does not give all the individuals in the population equal chances of being selected.

Lotteries

Games of chance where winners are selected by drawing lots, often used as a means of raising funds.