Which cost flow assumption assumes that the most recently purchased goods are still in inventory?
A)FIFO
B)LIFO
C)Average cost
D)Specific identification

Name: Which cost flow assumption assumes that the most recently purchased goods are still in inventory? A)FIFO B)LIFO C)Average cost D)Specific identification
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

FIFO (first-in, first-out) assumes that the oldest units of inventory are sold first, meaning that the most recently purchased goods are still in inventory.

Which Cost Flow Assumption Assumes That the Most Recently Purchased