In the A-B-C Approach to Classify Inventory,items That Have High

question 47

True/False

In the A-B-C approach to classify inventory,items that have high unit costs are always classified as "A" category items.

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Definitions:

Cash Dividend

A payment made by a corporation to its shareholders, the amount of which is determined by the company's board of directors, and is usually distributed in cash based on the profits earned.

Liability

An obligation of an entity arising from past transactions or events, the settlement of which is expected to result in an outflow of resources embodying economic benefits.

Date Of Record

The specific date set by a company on which the shareholders of record are entitled to receive dividends or other distributions.

Dividend Payment Date

The specific date on which a company's dividend payment is to be made to shareholders of record.