Which of the Following Statements Is Correct When Inventory Unit

question 80

Multiple Choice

Which of the following statements is correct when inventory unit costs are decreasing?

• A)FIFO's cost of goods sold will be the largest among the inventory costing methods.
• B)LIFO's income tax will be the lowest among the inventory costing methods.
• C)Ending inventory using the FIFO cost method will be higher than the ending inventory when the LIFO method is used.
• D)Cost of goods sold using the average cost method will be less than cost of goods sold when the LIFO method is useD.FIFO has the largest cost of goods sold during a period of decreasing unit costs.

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Definitions:

Gender-Assuming Term

Language or terms that imply or assign a gender to a person or a group, sometimes leading to stereotypes or biases.

Familiar Objects

Items or things that are well known or recognized by someone due to frequent exposure or inherent knowledge.

Linguistic Relativity Hypothesis

A theory suggesting that the structure of a language affects its speakers' worldview or cognition.

Benjamin Lee Whorf

An American linguist and fire prevention engineer known for his ideas on linguistic relativity, the hypothesis that the structure of a language affects its speakers' world view or cognition.