If the Meaning of a Statute's Language Is Unclear and an Agency

question 23

True/False

If the meaning of a statute's language is unclear and an agency interprets it,a court must follow the interpretation as long as it is reasonable.

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Definitions:

Average Cost Method

A method of inventory valuation that calculates the cost of goods sold and ending inventory based on the average cost of all items available for sale during a period.

Ending Inventory

The total value of all the inventory that a company has in stock at the end of an accounting period.

LIFO Cost Flow

A method of stock valuation where the latest items added to the inventory are the first ones to be sold.

Cost of Goods Sold

The direct expenses tied to the production of goods sold by a company, including material and labor costs.