Question Details

When the conventional retail method includes both net markups and net markdowns 


True or false:
1.	In most situations, the gross profit percentage is stated as a percentage of cost.

2.	A disadvantage of the gross profit method is that it uses past percentages in determining the markup.

	3.	When the conventional retail method includes both net markups and net markdowns in the cost-to-retail ratio, it approximates a lower-of-cost-or-net realizable value valuation.

	4.	In the retail inventory method, the term markup means a markup on the original cost of an inventory item.

	5.	In the retail inventory method, abnormal shortages are deducted from both the cost and retail amounts and reported as a loss.



Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help