SPI-B, which started business at the beginning of Year 1, selected the specific identification method for its inventory costing. For profits to be maximized for Year 1 under this method, which of the following must be the case?

	a.	All items available for sale at any point during the year remain in ending inventory.
	b.	Units remaining in ending inventory are a combination of low-cost and high-cost items.
	c.	Units remaining in ending inventory have the lowest cost of all inventory that had been available for sale at any point during the year.
	d.	Units remaining in ending inventory have the highest cost of all inventory that had been available for sale at any point during the year.

Answer rating: 100% (QA)

The answer provided below has been developed in a clear step by step manner Under specific identific... View the full answer