The inventory method that will always produce the same amount for cost of goods sold in a periodic inventory system as in a perpetual inventory system would be:
A)FIFO.
B)LIFO.
C)Weighted average.
D)None of these answer choices is correct.

Question

Quizplus · Accepted Answer

FIFO (First-In, First-Out) will produce the same cost of goods sold in both periodic and perpetual inventory systems because it assumes that the oldest inventory items are sold first, regardless of the timing of sales.

The Inventory Method That Will Always Produce the Same Amount