From an Accounting Point of View,one Implication of an Effective

question 143

Multiple Choice

From an accounting point of view,one implication of an effective just-in-time inventory system is that:

• A)Sales transactions must be recorded using on-line point-of-sale terminals.
• B)Inventories are less material in dollar amount and alternative inventory flow assumptions will produce more similar results.
• C)The cost of goods sold is significantly reduced.
• D)Purchases of merchandise are recorded as cash payments are made,and sales transactions are recorded as cash is received.

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Definitions:

Progressive

In the context of taxation, it refers to a tax system where the tax rate increases as the taxable amount increases, often aimed at reducing income inequality.

National Debt

The total amount of money that a country's government has borrowed, through various means, and has yet to repay.

Recognition Lag

Recognition Lag is the time it takes for policymakers to identify an economic problem.

Fiscal Policy

Government policies related to taxation and spending to influence the economy, including measures to adjust the level of aggregate demand in the pursuit of economic objectives.