The Retail Inventory Method Is NOT Used

question 46

Multiple Choice

The retail inventory method is NOT used

• A) as a control measure to determine inventory shortages.
• B) to allow the calculation of net income without taking a physical inventory count.
• C) to control quantities of merchandise on hand.
• D) to calculate the gross profit percentage.

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Definitions:

Economically

Pertaining to the management, production, and distribution of goods and services in a financial context.

Doubling Time

The period it takes for a quantity to double in size or value, often used in demography to describe the rate of population growth.

Population Growth

The increase in the number of individuals in a population, often measured by the rate at which the population is increasing.

Birth Rates

The number of live births per thousand of the population per year.