Asked by Natali Hernandez-Chavez on Jun 07, 2024
Verified
The specific identification method of costing inventories tracks the actual physical flow of the goods available for sale.
Specific Identification Method
An inventory valuation method in which costs are assigned to individual items, used in situations where each item is distinguishable or significantly different from others.
Costing Inventories
The process of determining the value of inventory, including the costs associated with acquiring or producing the goods.
Physical Flow
The movement and tracking of physical goods and materials through the production process or supply chain.
- Recognize the principles and effects of different inventory costing methods including LIFO, FIFO, and specific identification.
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Learning Objectives
- Recognize the principles and effects of different inventory costing methods including LIFO, FIFO, and specific identification.
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