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Physical Flow Assumption
An accounting method that tracks the physical movement of goods in inventory, often used to calculate cost of goods sold or ending inventory.
Specific Identification
Specific Identification is an inventory valuation method that tracks the actual cost of each specific item in inventory.
LIFO
LIFO, or Last-In, First-Out, is an inventory accounting method where the most recently produced or acquired items are the first to be used or sold.
FIFO
"First In, First Out," an inventory valuation method where goods first added to inventory are the first ones sold.
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