Common ground regarding the determinant of tax saving has been reached by most researchers that tax saving
is one of the most significant factors involved into the inventory accounting choice. But in most cases, the tax
rate is assumed to be constant and the non-tax factors were not accurately quantified due to data limitations in
analysis. A consistent and stronger conclusion will be made if researchers incorporate the stochastic tax rate into
models and additional data could be collected to obtain more accurate proxies of non-tax factors.