Which Inventory Method Is Better Described as Having an Income

question 69

Multiple Choice

Which inventory method is better described as having an income statement focus and why is it considered as such?

• A)FIFO;better approximates the value of ending inventory.
• B)LIFO;better approximates the value of ending inventory.
• C)LIFO;better approximates inventory cost necessary to generate revenue.
• D)FIFO;better approximates inventory cost necessary to generate revenue.

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Definitions:

Centromere

The region of a chromosome where the two sister chromatids attach, crucial for the distribution of chromosomes during cell division.

Gamete

A mature haploid male or female germ cell that is able to unite with another of the opposite sex in sexual reproduction to form a zygote.

Diploid

An organism or cell having two sets of chromosomes or twice the haploid number, typifying most body cells except for gametes.

Chromosomes

Thread-like structures located inside the nucleus of animal and plant cells, made of protein and a single molecule of DNA, responsible for carrying genetic information.