In which of the following companies tend to use the specific identification method?
A)When accounting for mass produced cheap products
B)When accounting for unique and individually expensive items
C)When accounting for high tech products
D)When accounting for grocery and produce items

Question

Quizplus · Accepted Answer

The specific identification method is best used when accounting for unique and individually expensive items, such as artwork or real estate. This method allows for the exact cost of each item to be tracked, as opposed to averaging costs across all items (as with the weighted average method) or assuming all items are sold at the same cost (as with the FIFO and LIFO methods).

In Which of the Following Companies Tend to Use the Specific