Under Which Method of Accounting for Inventories Do You Debit

question 68

Multiple Choice

Under which method of accounting for inventories do you debit the Expenditure account and credit the Asset account when inventories are consumed?

• A) Consumption method
• B) Purchases method
• C) Both of the above
• D) None of the above

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Definitions:

Confidence

A feeling or belief that one can rely on someone or something; firm trust.

Billing Process

The process of issuing invoices to customers for goods or services, tracking the payment status, and managing receivables.

Defect Rate

The percentage of products or services that fail to meet quality standards out of the total produced or delivered.

Confidence

A person's belief in their own abilities or in the likelihood of a positive outcome.