The Use of LIFO Rather Than FIFO for Inventory Costing

question 34

Multiple Choice

The use of LIFO rather than FIFO for inventory costing under normal economic conditions results in:
I. lower net income.
II. higher total assets.
III. gher retained earnings.
IV. unchanged retained earnings.

• A) II and III
• B) I, II and IV
• C) I only
• D) I and IV

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