The factor which determines whether or not goods should be included in a physical count of inventory is

A) physical possession.
B) legal title.
C) management's judgment.
D) whether or not the purchase price has been paid.

Physical Possession

The actual holding or occupying of an object, property, or asset by an individual or entity.

Legal Title

Refers to the formal right of ownership of a property or asset.

Physical Count

The process of manually counting the actual inventory on hand at a certain period to verify the quantities listed in the accounting records.