Extreme Values of Observations May Be the Result Of

question 161

Multiple Choice

Extreme values of observations may be the result of:

• A)a temporary plant shutdown.
• B)a misplaced decimal point in the recorded data.
• C)classifying a cost incorrectly.
• D)All of these answers are correct.

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Definitions:

FOB Shipping Point

This refers to a shipping term where the buyer assumes responsibility for the goods the moment they leave the seller’s premises.

Accounts Payable

A liability account that records amounts the company owes to suppliers or creditors for purchases or services received on credit.

Physical Inventory Count

A physical inventory count is the process of manually counting all merchandise or stock in a business to verify records and manage inventory levels.

Cost Of Inventory

The total cost incurred to acquire, produce, and place inventory items available for sale, including purchase price, shipping, handling, and storage.