Inventories and Other Physical Assets Should Be

question 18

Multiple Choice

Inventories and other physical assets should be:

• A) received and counted by the department which initially ordered it.
• B) placed in service as soon as received to maximize profit.
• C) received in a central receiving department before being routed to their destination.
• D) reconciled and paid for prior to being routed to their destination.

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Definitions:

Conformity

The process of aligning one's attitudes, beliefs, and actions with the norms of a group or the expectations of society.

Compliance

The act of conforming, submitting, or adapting one's behavior to match with demands, requests, or regulations from others, often used in a legal or regulatory context.

Lowball Procedure

The lowball procedure is a psychological technique used in persuasion and sales where an initially favorable offer is made, only to have terms less favorable to the buyer introduced later.

Expensive Extra Equipment

Items or tools that are not included with the basic package of a product and are often high in price.