Multiple Choice
Which statement is correct?
A) The retail inventory method estimates ending inventory cost using wholesale prices and an average gross margin.
B) The retail inventory method estimates cost of goods sold using the inventory cost flow equation.
C) The gross margin method estimates ending inventory cost using retail prices and an average gross margin.
D) The gross margin method estimates cost of goods sold using the inventory cost flow equation.
Correct Answer:
Verified
Correct Answer:
Verified
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