Which of the Following Statements About the Computation of Cost

question 54

Multiple Choice

Which of the following statements about the computation of cost of goods sold is true?

• A) Manufacturing and retail businesses must use the specific identification method for tax purposes.
• B) Manufacturing and retail businesses must use the FIFO costing convention for tax purposes.
• C) Manufacturing and retail businesses must use the LIFO costing convention for tax purposes.
• D) Manufacturing and retail businesses that use the LIFO costing convention for tax purposes must also use LIFO for book purposes.

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Definitions:

Unconscious Racism

Implicit biases and attitudes towards members of different races that operate beyond an individual's conscious awareness and influence behavior and decisions.

Asian-American Population

The Asian-American population refers to the ethnically diverse group of people in the United States who have ancestry from countries in Asia, often studied in research to understand specific social, cultural, and health-related issues.

Ethnicity

A category of people who identify with each other based on shared cultural, linguistic, or ancestral characteristics.

Socioeconomic Status

An individual’s or group’s position within a hierarchical social structure, determined by factors such as income, education, and occupation.