124. Which of the following businesses is most likely to use a periodic inventory system? A. An aircraft manufacturer. B. A supermarket that is part of a national chain. C. An independently owned art gallery with a manual accounting system. D. A beer bar.

124. Which of the following businesses is most likely to use a periodic inventory system? A. An aircraft manufacturer. B. A supermarket that is part of a national chain. C. An independently owned art gallery with a manual accounting system. D. A beer bar.

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Description: 124. Which of the following businesses is most likely to use a periodic inventory system?A. An aircraft manufacturer.B. A supermarket that is part of a national chain.C. An independently owned art gallery with a manual accounting system.D. A beer ba

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.

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124. Which of the following businesses is most likely to use a periodic inventory system?
A. An aircraft manufacturer.
B. A supermarket that is part of a national chain.
C. An independently owned art gallery with a manual accounting system.
D. A beer bar.

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