February 26, 2022 Comment off

Identify the differences between F.I.F.O., L.I.F.O., and the average-cost method of inventory valuation.

Inventory Valuation Methods.Identify the differences between F.I.F.O., L.I.F.O., and the average-cost method of inventory valuation. Be sure to include the effects of each method on cost of goods sold and net income in your answer. Also discuss the differences between the physical movement of goods and cost flow assumptions. Your answer should illustrate understanding of the three major inventory valuation methods, and the relationship between physical inventory flow and cost flow assumptions.