During periods of decreasing unit costs,use of the LIFO inventory method will result in a higher amount of ending inventory than will the use of the FIFO inventory method.

Question

Quizplus · Accepted Answer

During periods of decreasing unit costs, the LIFO method assigns the most recent (and therefore higher) costs to the ending inventory, resulting in a higher ending inventory value compared to FIFO.

During Periods of Decreasing Unit Costs,use of the LIFO Inventory