With Regards to Inventory Which of the Following Would Be

question 20

Multiple Choice

With regards to inventory which of the following would be classed as conservative accounting?

• A) Being slow to write down slow-moving inventory
• B) Still recording obsolete inventory as an asset
• C) Consistently and quickly applying the lower of cost and net realisable value rule
• D) Overstating inventory by including non-existent inventory in accounts.

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Definitions:

Standard Precautions

A combination of Universal Precautions and Body Substance Isolation guidelines; used in hospitals for the care of all patients.

Eye Protection

Devices or equipment used to prevent injury or damage to the eyes.

Face Masks

Protective coverings worn over the mouth and nose to prevent the spread of infectious diseases or to protect against pollutants.

Hemocytometer

A device used in laboratories to count cells, particularly red and white blood cells, in a blood sample.