X Company has made sales throughout the year. If prices have been rising constantly throughout the year, then:

Question

Quizplus · Accepted Answer

Cash Co. may use estimates of inventory shrinkage to determine its closing inventory if it normally takes a physical count of its inventory on a regular and consistent basis (and makes proper adjustments to its inventories and to its estimating methods to the extent its estimates diﬀer from actual shrinkage).

X Company Has Made Sales Throughout the Year