Which of the following statements is true of a good merchandise inventory control system?

Group of answer choices

It eliminates the need for authorization of merchandise purchases.

It ensures that a physical count of inventory is not required.

It often prevents the company from a stockout.

It eliminates the need to examine inventory purchases for damage.

Which of the following states that a company must perform strictly proper accounting only for items that are significant to the business's financial statements?

Group of answer choices

conservatism

materiality concept

disclosure principle

consistency principle