What effect do different depreciation method have on expense

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Question 1: Why are inventories very important for some industries, but not others? Give examples to show your understanding.

Question 2: Illustrate with examples the inventory assumptions, such as LIFO and FIFI. Show their effects on the cost of goods sold, net income, and taxes.

Question 3: Does a company really need account payable? Why or why not? (Link your answers of payables to inventory.)

Question 4: Why do we need depreciation? What effects do different depreciation methods have on expenses and assets?

Question 5: What is impairment loss? Show your understanding with numerical examples.

Reference no: EM132804430

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