1: LIFO is essentially an historical cost method.
a. True
b. False
2. Average cost is e...
Social Studies, 26.06.2020 21:01 gagehamel
1: LIFO is essentially an historical cost method.
a. True
b. False
2. Average cost is essentially an historical cost method.
a. True
b. False
3. LIFO is essentially an recently cost method.
a. True
b. False
4. Which of the following are true?
1. With FIFO, the inventory valuation will be very close to replacement cost.
II. With LIFO, inventories are issued at a price which is close to the current market value :
III. Decision making can be difficult with Both which and Loleo because of the variations in prices.
IV. A disadvantage of the weighted average method of inventory valuation is that the resulting issue
price is rarely an actual price that has been paid and it may be calculated to several decimal places.
A. I and II only
B. I, II and III only
C. I and III only
D. I, II, III and IV
Answers: 2
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