Which of the Four Inventory Cost Flow Assumptions Is Best

question 94

Multiple Choice

Which of the four inventory cost flow assumptions is best suited to inventories of high-priced, low-volume items?

• A) LIFO.
• B) FIFO.
• C) Average.
• D) Specific identification.

---

Definitions:

Lender

An individual or institution that provides funds to another with the expectation of repayment plus interest.

Title Examination

The process of reviewing public records to determine and confirm a property's legal ownership, and to identify any claims, defects, or encumbrances that may affect the title.

Title Insurance Company

A company that issues insurance policies to protect purchasers and lenders in real estate transactions from losses due to title defects.

Paralegal

A legal professional who assists attorneys in the delivery of legal services, often involved in case research, document preparation, and other support tasks.