Many retail stores take a periodic inventory at retail values, using the sales price marked on the merchandise.

Question

Quizplus · Accepted Answer

It is common for retail stores to take inventory at retail values, using the sales price marked on the merchandise as the basis for valuation. This method is known as the Retail Inventory Method and allows retailers to monitor their inventory levels and calculate the cost of goods sold.

Many Retail Stores Take a Periodic Inventory at Retail Values