Which Statement Is True Concerning Inventory Management Programmes

question 12

Multiple Choice

Which statement is true concerning inventory management programmes?

• A)A yearly inventory for accounting purposes should be sufficient for most small businesses.
• B)Keeping stock for "just in case" is suggested for customer satisfaction and is needed for inventory.
• C)Software programs supplemented by a required physical inventory will assist in inventory control.
• D)Slow moving items in a company's inventory are limited concerns since they can be marked down and sold.

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Definitions:

Copyright

The exclusive right that is granted by the federal government to sell and reproduce literary, musical, or artistic works for a period of time.

Plant Asset

Long-term tangible assets that are used in the operations of a business and are not intended for sale, such as machinery, buildings, and equipment.

Machine Account

An account used in bookkeeping to track the costs and depreciation of a company's machinery.

Residual Value

Estimated value of an asset after all the allowable depreciation has been taken.