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Should the plant accountant order the inventory purchase to lower income?
Wiki User
∙ 13y ago
S. R. Marsh Wholesale Corp. uses the LIFO method of inventory costing. In the current year, profit at S. R. Marsh is running unusually high. The corporate tax rate is also high this year, but it is scheduled to decline significantly next year. In an effort to lower the current year's net income and to take advantage of the changing income tax rate, the president of S. R. Marsh Wholesale instructs the plant accountant to recommend to the purchasing department a large purchase of inventory for delivery 3 days before the end of the year. The price of the inventory to be purchased has doubled during the year, and the purchase will represent a major portion of the ending inventory value. You strongly suspect that the president will return the purchased inventory after January 1st.
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Should the plant accountant order the inventory purchase to lower income? What are the ethical implications of this order?
Wiki User
∙ 13y ago
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How much does an accountant earn in Arizona?
In Arizona, the average annual income for an accountant is $48,000. The average annual income for an accountant in Ohio is $56,000.
How much is the annual income for an accountant?
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Merchandise Inventory is found on the income statement. True or false?
It is true that merchandise Inventory is found on the income statement.
If merchandise inventory is bing valued at cost and the purchase price is steadily failing which method of costing will yield the largest net income?
LIFO
What is the average income of a charted accountant?
rs 10000
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