If the Unit Cost of Inventory Has Continuously Increased the ______________

question 150

Short Answer

If the unit cost of inventory has continuously increased the ______________ first-out inventory valuation method will result in a higher valued ending inventory than if the ______________ first-out method had been used.

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Definitions:

Normal Good

A type of good for which demand increases as the income of consumers increases, and decreases when consumer income decreases.

Inferior Good

A type of good for which demand decreases as the income of consumers increases, opposite of a normal good.

Normal Good

A good for which demand increases as the income of the consumer increases.

Price Elasticity

An indicator of the alteration in the amount of a product that is either demanded or supplied, as a result of variations in its market price.