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podryga [215]
3 years ago
8

The specific identification method of inventory costing may enable management to manipulate net income. always minimizes a compa

ny's net income. has no effect on a company's net income. always maximizes a company's net income.
Business
1 answer:
Effectus [21]3 years ago
4 0

Answer: May enable management to manipulate net income

Explanation:

The Specific Identification method does in fact allow for some manipulation most especially when there are items that are identical but yet are not of the same cost.

To most customers, the items will be the same and therefore the retailer or management could just report selling an item of higher cost in order to lower paper profit and by extension net income.

If you need further clarification do react or comment.

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Answer:

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Explanation:

Named after British lawyer and economist Ronald Coase (<em>1910-2013</em>) the Coase Theorem states when there are competitive markets and no transaction costs bargaining will lead to an efficient and mutually beneficial outcome. The theorem affirms that when property rights are defined and divided, parties will gravitate to the most efficient and beneficial outcome.

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Northrup-Grumman Corporation is expected to pay $1.25 per share for its next dividend. If shares are trading at $27.22 and analy
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