Which Is Usually NOT a Common Practice in Taking a Physical

question 59

Multiple Choice

Which is usually NOT a common practice in taking a physical inventory?

• A)Taking inventory during slow store hours
• B)Hiring an outside firm
• C)Taking inventory during the November and December holidays
• D)Taking inventory in team of two persons

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Definitions:

Operating Expenses

Costs related to the day-to-day functioning of a business, excluding the cost of production.

Product Costs

The costs directly associated with the production of goods, including raw materials, labor, and manufacturing overhead.

Indirect Costs

Expenses not directly tied to a specific product, service, project, or activity, typically including utilities, rent, and administrative salaries.

Cost Object

Any item for which costs are measured and assigned, including products, services, projects, activities, or customers.