Using the Following Information,what Amount of "Shrinkage" Would Be Identified

question 43

Multiple Choice

Using the following information,what amount of "shrinkage" would be identified under the periodic inventory system?

• A)$ 0
• B)$300,000
• C)$650,000
• D)$700,000

---

Definitions:

Duties

Responsibilities or obligations that an individual, company, or government has under the law or contract.

Agency Agreement

A contract where one party (the agent) agrees to act on behalf of another (the principal) in business transactions.

Operation Of Law

An operation of law is a legal change that occurs automatically due to existing legal rules, rather than actions taken by the parties themselves.

Employee Status

A classification that determines if an individual is employed by a company, affecting their entitlement to employee benefits and protections under labor laws.