With LIFO,cost of goods sold is $195,000,and ending inventory is $45,000.If FIFO ending inventory is $65,000,how much is FIFO cost of goods sold?

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Quizplus · Accepted Answer

The difference in ending inventory values between LIFO and FIFO ($65,000 - $45,000 = $20,000) must be subtracted from the LIFO cost of goods sold to get the FIFO cost of goods sold ($195,000 - $20,000 = $175,000).

With LIFO,cost of Goods Sold Is $195,000,and Ending Inventory Is