If a company has no beginning inventory and the unit cost of inventory items does NOT change during the year, the value assigned to the ending inventory will be the same under the FIFO and weighted average cost formulas.

Question

Quizplus · Accepted Answer

If there is no beginning inventory and the unit cost does not change, then the only inventory that exists is the ending inventory. Therefore, under both FIFO and weighted average cost formulas, the value assigned to the ending inventory will be the same.

If a Company Has No Beginning Inventory and the Unit