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Table 12-A
-Refer to Table 12-A.Nation B is expected to double its output in:
LIFO of $450,000
The last-in, first-out method applied to inventory that results in an ending balance of $450,000.
LIFO Reserve
The difference between the cost of inventory calculated using the Last In, First Out (LIFO) method and the cost calculated using the First In, First Out (FIFO) method.
FIFO Assumption
An accounting method where the first items purchased or produced are the first ones used or sold.
LIFO Reserve
The difference in value between inventory calculated using the Last-In, First-Out (LIFO) method and the First-In, First-Out (FIFO) method, used to adjust COGS and inventory valuation.
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