1. Producing inventory that is not needed relative to current sales demand to increase reported operating profits...

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1. Producing inventory that is not needed relative to current sales demand to increase reported operating profits
2. Avoiding the adoption of innovative production and inventory management methods because of short-run negative effects on profits
3. Blaming suppliers for inventory problems that are, in actuality, artifacts of in-house inventory management mistakes
4. Failing to write-down obsolete or spoiled inventory as soon as information regarding these conditions becomes known
5. Using coercion to force suppliers to yield price concessions so that the cost of manufacturing a product is kept in line with the product’s market price
6. Using the adoption of evolving production and inventory management methods as a justification to dismiss workers

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Cost Accounting Foundations and Evolutions

ISBN: 978-1111626822

8th Edition

Authors: Michael R. Kinney, Cecily A. Raiborn

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