Question

the specific identification inventory method cannot be used. a.when the unit sold is identified with a specific purchase. b.when each inventory unit can be specifically identified. c.by an automobile dealer where automobiles have unique serial numbers. d.when all units sold are alike.

Answer 1

The specific identification inventory method cannot be used d.when all units sold are alike.

What is inventory method?

An inventory valuation can be described as the method that is been used by the firm so that it can provide a monetary value for items which is been used in the formation of the  inventory.

It should be noted that the Inventories can be regarded as the largest current asset  that can be associated to the business,, however the when the specific identification inventory method is been used the unit should not be alike.

Therefore, option D is correct.

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