Of the following,which is not a reason for having controls to safeguard inventories?
A)Protect inventory items from theft.
B)Avoid stock-outs from not having enough inventory on hand.
C)Reduce costs of maintaining the LIFO Reserve.
D)Keep track of overstocked items.

Question

Quizplus · Accepted Answer

Maintaining the LIFO Reserve is a financial accounting practice and is not directly related to inventory control or safeguarding inventory items. A, B, and D are all valid reasons for having controls in place to safeguard inventories.

Of the Following,which Is Not a Reason for Having Controls