Under Last-In,First-Out,the Cost of Goods Sold Is Based on the Oldest

question 115

True/False

Under Last-In,First-Out,the Cost of goods sold is based on the oldest purchases.

---

Definitions:

Multiple-Step Statement

An income statement format that separates operating revenues and expenses from non-operating ones, calculating income at several levels.

Single-Step Statement

A simplified income statement that calculates net income by subtracting total expenses directly from total revenue with one step.

Gross Profit

is the financial gain obtained after subtracting the cost of goods sold (COGS) from total revenue.