Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs. To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

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Answer 1

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Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

To determine

To Explain: The application of accounting requirements upon the selection of the method.

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Answer 2

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Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

To determine

To Explain: The application of accounting requirements upon the selection of the method.

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Answer 3

Question

Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

To determine

To Explain: The application of accounting requirements upon the selection of the method.

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Answer 4

Question

Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

To determine

To Explain: The application of accounting requirements upon the selection of the method.

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Answer 5

Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

To determine

To Explain: The application of accounting requirements upon the selection of the method.

Answer 6

Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

Answer 7

Chapter 6, Problem 9Q

To determine

Cost flow assumptions: Cost flow assumptions can be referred to as method which determines the flow of costs when an inventory is sold. Instead of keeping a track record for cost of each product sold, a company adopts these methods and identifies which units were sold. It differs from specific identification method because the actual physical movement of goods may be unrelated to the flow of costs.

To Explain: Whether the selection of an inventory cost flow method is a decision made by accountants.

Answer 8

To determine

To Explain: The application of accounting requirements upon the selection of the method.

Answer 9

To determine

To Explain: The application of accounting requirements upon the selection of the method.

Answer 10

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Answer 11

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Answer 12

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Answer 13

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