During a period of consistently rising prices, the method of inventory that will result in reporting the greatest cost of goods sold is

A) FIFO
B) LIFO
C) average cost
D) weighted average

Cost of Goods Sold

This accounting term refers to the direct costs attributable to the production of the goods sold by a company, including labor, material, and overhead costs.

Rising Prices

A situation in which the general level of prices for goods and services in an economy increases over a period, often referred to as inflation.

Inventory Method

A system used by businesses to keep track of the quantity, status, and location of goods that they hold.