Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Which of the following statements is NOT true about a fixed-period system? OA. A fixed-period system is also called continuous review. OB. The disadvantage

image

Which of the following statements is NOT true about a fixed-period system? OA. A fixed-period system is also called "continuous review." OB. The disadvantage of the fixed-period system is that because there is no tally of inventory during the review period, there is the possibility of a stockout during this time. OC. The advantage of the fixed-period system is that there is no physical count of inventory items after an item is withdrawn. OD. A fixed-period system is appropriate when vendors make routine visits to customers to take fresh orders or when purchasers want to combine orders to save ordering and transportation costs. Click to select your answer. Save for Later esc BB Q 62 skole W 20 # 3 E 54 DOD 000 $ R 70 % 5 T ^ 6 Y & 7 F7 U 11 * 8 F6 I 1 9 14 O 1 0 F10 m P = va POR

Step by Step Solution

There are 3 Steps involved in it

Step: 1

The fixedperiod system involves periodic physical counts of inv... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing and Assurance Services

Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws

6th edition

978-1259197109, 77632281, 77862341, 1259197107, 9780077632281, 978-0077862343

More Books

Students also viewed these Accounting questions