The Gross Profit Method of Determining Ending Inventory Cost

question 86

Multiple Choice

The gross profit method of determining ending inventory cost

• A)requires that a firm keep inventory and purchases data at retail value as well as at cost.
• B)provides accurate information about the number of units in inventory.
• C)can be used without taking a physical count of merchandise.
• D)requires that the inventory be classified into groups of items of about the same rate of markon.