The LIFO inventory costing method assumes that the cost of the units most recently purchased is:
A)the last to be assigned to cost of goods sold.
B)the first to be assigned to ending inventory.
C)the first to be assigned to cost of goods sold.
D)the last to be assigned to units available for sale.

Question

Quizplus · Accepted Answer

The LIFO (Last In, First Out) method assumes that the most recently purchased items are the first to be assigned to the cost of goods sold.

The LIFO Inventory Costing Method Assumes That the Cost of the Units