Accounting Procedures Allow a Business to Evaluate Their Inventory Costs

question 34

Multiple Choice

Accounting procedures allow a business to evaluate their inventory costs based on two methods: LIFO (Last In First Out) or FIFO (First In First Out) . A manufacturer evaluated its finished goods inventory (in $000s) for five products with the LIFO and FIFO methods. To analyze the difference, they computed (FIFO - LIFO) for each product. Based on the following results, does the LIFO method result in a lower cost of inventory than the FIFO method? What are the degrees of freedom?

• A) 4
• B) 5
• C) 15
• D) 10

---

Definitions:

DNA

Deoxyribonucleic acid, a molecule that carries the genetic instructions used in growth, development, functioning, and reproduction of all known living organisms.

Complimentary DNA Strand

The DNA strand that is complementary to the template strand; it pairs with the template strand during DNA replication.

Base Pair

Two nucleotides on opposite strands of DNA that are connected by hydrogen bonds, commonly adenine with thymine, or cytosine with guanine.

DNA Found

Describes the identification or discovery of deoxyribonucleic acid (DNA), which carries genetic instructions essential for growth, development, and reproduction.