Which One of the Following Inventory Methods Is Often Impractical

question 164

Multiple Choice

Which one of the following inventory methods is often impractical to use?

• A)Specific identification
• B)LIFO
• C)FIFO
• D)Average cost

---

Definitions:

Job-Order Costing System

A cost accounting system in which costs are assigned to specific jobs or orders, used in industries where goods or services are produced to order.

Machine-Hours

A measure of production time which quantifies the number of hours a machine is in operation.

Overhead Applied

The portion of overhead costs that are allocated to products or cost objects based on a predetermined overhead rate.

Customizing Department

A segment within a manufacturing or service company dedicated to modifying products or services to meet specific customer requests or needs.