Which of the Following Statements Is True

question 7

Multiple Choice

Which of the following statements is true?

• A)The last-in, first-out (LIFO)cost flow assumption is an acceptable method for costing inventories in Canada.
• B)Over time, the number of areas where management has a free choice over accounting policies has increased.
• C)A change in accounting policy is an accounting change made at the discretion of management.
• D)Changes in accounting policy occur more frequently than changes in estimates.

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Definitions:

Performance Outcomes

The results or achievements of an individual or organization's work, often measured against predefined goals or standards.

Forced Distribution

In performance appraisal forces a set percentage of persons into predetermined rating categories.

Performance Appraisal Method

The specific technique or process used to evaluate an employee's job performance, such as self-assessment, peer review, or objective metrics.

Ranking

The ordering or categorizing of items or individuals based on certain criteria, indicating their positions relative to each other.