Which of the following should be included in the cost of the inventory?
A) The cost of shelves used to store inventory
B) Shipping and handling on inventory purchases
C) Salaries paid to warehouse employees.
D) Advertising costs to sell the inventory

Question

Quizplus · Accepted Answer

Shipping and handling on inventory purchases are considered part of the cost of inventory because they are necessary expenses to bring the inventory to its current location and condition, ready for sale.

Which of the Following Should Be Included in the Cost