Which of the following methods is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items?

A) FIFO
B) LIFO
C) average
D) specific identification

Question

Which of the following methods is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items?A) FIFOB) LIFOC) averageD) specific identification

Janae Taylor · Accepted Answer

Final Answer : D, Explanation :  Specific identification method is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items. This method provides the exact cost of each item sold and is ideal for businesses dealing with customized products or unique items with high costs.

Which of the following methods is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items?

A) FIFO
B) LIFO
C) average
D) specific identification

Definitions

Learning Objectives

Learning Objectives

Related questions