The lower-of-cost-or-market (LCM) basis may be be used with all of the following methods except
A) average cost.
B) FIFO.
C) LIFO.
D) The LCM basis may be used with all of these.

Question

Quizplus · Accepted Answer

The lower-of-cost-or-market basis can be used with all inventory valuation methods, including average cost, FIFO, and LIFO. Therefore, the answer is D, which states that the LCM basis may be used with all of these methods.

The Lower-Of-Cost-Or-Market (LCM) Basis May Be Be Used with All