From the Residual Plot Below We Can Say

question 23

Multiple Choice

From the residual plot below we can say

• A) that the nearly normal condition is satisfied
• B) that the nearly normal condition is not satisfied
• C) that the equal spread condition is satisfied
• D) that the linearity condition is not satisfied
• E) that the independence assumption is not satisfied

---

Definitions:

FIFO

FIFO, an acronym for "First In, First Out," is an inventory valuation method where goods purchased first are the ones sold first, affecting cost of goods sold and inventory on the balance sheet.

Inventory Costing Method

This involves various approaches to valuing inventory, including FIFO (first-in, first-out), LIFO (last-in, first-out), and weighted average cost methods, affecting the cost of goods sold and ending inventory valuation.

Physical Flow

The movement and processing of physical goods through the supply chain from raw materials to finished products.

Ending Inventory Value

The total value of all unsold inventory remaining at the end of an accounting period.