To minimize taxes in an inflationary environment, companies would use the

Name: To minimize taxes in an inflationary environment, companies would use the
Brand: Quizplus
Rating: 5.0 (51 reviews)

Question

Quizplus · Accepted Answer

In an inflationary environment, companies would use the LIFO (Last In, First Out) inventory method to minimize taxes. This is because LIFO assumes that the most recently acquired items are sold first, leading to higher cost of goods sold (COGS) on the income statement when prices are rising. This reduces reported net income and, consequently, taxes.

To Minimize Taxes in an Inflationary Environment, Companies Would Use