An inventory of grocery items where the shelves are stocked from the back would be similar to which cost flow assumption?
A)FIFO
B)Specific identification
C)Moving average
D)FISH

Question

Quizplus · Accepted Answer

The FIFO (first-in, first-out) method assumes that the first items purchased or produced are the first items sold or used. This is similar to a grocery store where the shelves are stocked from the back, and the oldest products in the front are the first to be sold.

An Inventory of Grocery Items Where the Shelves Are Stocked