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FIFO Method
An inventory valuation method that assumes items purchased or produced first are sold first, and the newer inventory remains unsold.
Equivalent Units
Equivalent units are used in cost accounting to express the amount of work done on incomplete products in terms of fully completed units of output.
Materials
Raw items or components that are used to manufacture a finished product.
FIFO Method
First-In, First-Out methodology in inventory and cost accounting that assumes the first items produced or acquired are the first ones sold.
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