Indicate Whether Each of the Following Statements Is True or False

question 106

Short Answer

Indicate whether each of the following statements is true or false.
_____ a)The FIFO cost flow method assumes that the company physically rotates inventory so that the oldest inventory is sold first.
_____ b)In a period of rising prices,FIFO gives higher cost of goods sold than LIFO.
_____ c)Under the weighted average cost flow method,the cost per unit of ending inventory is equal to the cost per unit of inventory sold.
_____ d)In a period of declining prices,LIFO will result in higher income tax expense than FIFO.
_____ e)In a period of rising prices,FIFO gives higher ending inventory than LIFO does.

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Definitions:

Sociologists

Scientists who study human societies and social behavior, examining the institutions, cultures, and processes that influence social interactions.

Constant Stability

The state of being consistently unchanging and dependable over time.

Competitive Disadvantage

A condition or circumstance that puts a company in an unfavorable position relative to competitors.

Workforce

The collective body of individuals employed by a particular organization or working in a particular sector.