Which of the Following Statements Is Incorrect When Inventory Unit

question 97

Multiple Choice

Which of the following statements is incorrect when inventory unit costs are increasing?

• A)LIFO's cost of goods sold will be the largest among the inventory costing methods.
• B)LIFO's income tax will be the lowest among the inventory costing methods.
• C)Ending inventory using the average cost method will be larger than the ending inventory when the LIFO method is used.
• D)Cost of goods sold using the average cost method will be less than cost of goods sold when the FIFO method is used.

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