During times of rising prices, which of the following is not an accurate statement?
A) Average costing will yield results that are between those of FIFO and LIFO.
B) LIFO will result in a higher cost of goods sold than FIFO.
C) FIFO will result in a higher net income than LIFO.
D) LIFO will result in higher income taxes than FIFO.

Question

Quizplus · Accepted Answer

During times of rising prices, LIFO results in a higher cost of goods sold, leading to lower net income and thus lower income taxes compared to FIFO.

During Times of Rising Prices, Which of the Following Is