The factor which determines whether or not goods should be included in a physical count of inventory is
A) physical possession.
B) legal title.
C) management's judgment.
D) whether or not the purchase price has been paid.

Question

Quizplus · Accepted Answer

Legal title determines whether or not goods should be included in a physical count of inventory because it indicates the ownership of the goods. Ownership is crucial for inventory accounting, regardless of physical possession or payment status.

The Factor Which Determines Whether or Not Goods Should Be