The Inventory Cost Flow Assumption Describes the Flow of Product

question 22

Multiple Choice

The inventory cost flow assumption describes the flow of product cost:

• A) from the warehouse to the customer.
• B) into the asset (inventory) account and out to the expense (cost of goods sold) account.
• C) into the revenue (sales) account and out to the expense (cost of goods sold) account.
• D) into the asset (inventory) account and out to the revenue (sales) account.

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