Which of the Following Inventory Costing Methods Uses the Costs

question 107

Multiple Choice

Which of the following inventory costing methods uses the costs of the oldest purchases to calculate the value of the ending inventory?

• A) specific identification
• B) weighted-average
• C) last-in, first-out
• D) first-in, first-out

---

Definitions:

Cost Advantage

This is the benefit a company gains when it can produce a product or provide a service at a lower cost compared to its competitors, often leading to higher profit margins.

Core Competency

Fundamental strengths or unique abilities that a company possesses, providing the foundation for its competitive advantages.

Differentiation Advantage

The unique attributes or features a product or service provides that set it apart from competitors, leading to a competitive advantage.

Strategic Plan

A comprehensive blueprint designed by an organization to outline its goals, the strategies to achieve them, and the metrics for tracking progress.