Asked by Leyla Jackson on May 12, 2024
Verified
The inventory method that assumes the recent goods are sold first is:
A) LIFO.
B) FIFO.
C) weighted-average.
D) specific invoice.
Recent Goods
Recent goods refer to merchandise or products that have been newly received or produced, often highlighted for their novelty or relevance to current trends.
- Discern the differences and employment of FIFO, LIFO, weighted-average, and specific invoice methods in the valuation of inventory.
Verified Answer
SE
Selina EllenMay 18, 2024
Final Answer :
A
Explanation :
LIFO, which stands for Last In, First Out, assumes that the most recently purchased or produced items are sold first, leaving the older inventory in stock.
Learning Objectives
- Discern the differences and employment of FIFO, LIFO, weighted-average, and specific invoice methods in the valuation of inventory.