Which of the Following Methods Is Appropriate for a Business

question 56

Multiple Choice

Which of the following methods is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items?

• A) FIFO
• B) LIFO
• C) average
• D) specific identification

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Definitions:

Relativistic Thinking

Recognition that judgments are often not absolute but made from a certain belief system or cultural background.

Conventional Thinking

A mode of thought based on accepted norms and standards, often contrasted with creative or critical thinking approaches.

Transitivity

A principle in logic and mathematics stating that if a relation holds between a first and a second element, and also between the second and a third, it must necessarily hold between the first and the third.

Conservation

The act of preserving, protecting, or restoring the natural environment and wildlife.