Which One of the Following Statements Is True

question 135

Multiple Choice

Which one of the following statements is true?

• A) Accountants have developed methods which make assumptions concerning how costs should be assigned to inventory and cost of goods sold.
• B) Alternative inventory cost flow assumptions have the same effect on the amount of net income reported.
• C) Accounting standards require that merchandise costs be specifically traced to units left in inventory and to units that have been sold.
• D) The flow of inventory costs should match the physical flow of the merchandise.

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Definitions:

Chain Of Command

The formal line of authority within an organization, detailing how orders are passed down from higher to lower ranks.

Diversity

Differences among people in terms of identity, age, sex, race, physical ability, ethnicity, religious beliefs, values and mores, sexual orientation, and personality.

Identities

The qualities, beliefs, personality, looks, and expressions that make a person (or group) different from others.

Ethnicity

A category of people who identify with each other based on shared ancestral, social, cultural, or national experiences.