Which of the Following Should Not Be Classified as Inventory

question 49

Multiple Choice

Which of the following should not be classified as inventory in the balance sheet of a large automobile dealership?

• A)Pickup trucks offered for sale.
• B)Used cars taken in trade and offered for sale on the company's used-car lot.
• C)Spark plugs,oil filters,and other parts which are intended for use by the service department in repairing and servicing customers' cars.
• D)"Company cars" provided to specific company executives for their personal use.

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Definitions:

Sanitary

Conditions or practices maintained to ensure cleanliness and protect public health.

Inspect Personally

To inspect personally means to examine something directly and in detail by oneself rather than relying on reports or the examination by others.

Worsening Dementia

A progressive decline in cognitive function, marked by an increase in symptoms like memory loss, confusion, and changes in personality.

Long-term Living

Refers to accommodations or arrangements made for individuals to reside in a place for an extended period, often related to elderly care or chronic condition management.