Which of the Following Statements Regarding Changing Inventory Methods Is

question 2

Multiple Choice

Which of the following statements regarding changing inventory methods is true?

• A)A change in inventory methods can be justified if the change is made to better match profits with revenue.
• B)Changing inventory methods affects consistency.
• C)One place that the reader of an annual report would be able to identify that a company changed inventory methods is the statement of stockholders' equity.
• D)Tax advantages are valid justification for changing inventory methods.

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Definitions:

Programs

Planned series of activities or procedures designed to achieve a specific goal or purpose, often related to education, health, or social services.

Industrial Revolution

A period of major industrialization from the late 18th to early 19th centuries that transformed mainly agrarian, rural societies in Europe and America into industrialized, urban ones.

Working Conditions

The environment, terms, and aspects of an individual's employment, including hours, safety, and rights.

Daily Life

The everyday aspects of people's existence, including work, family, community, and leisure activities.