Which of the following is not considered an inventory cost-flow assumption?
A) Average cost
B) First-in, first-out
C) Periodic
D) Last-in, first-out

Question

Quizplus · Accepted Answer

Periodic is not a cost-flow assumption. It refers to a method of inventory valuation where inventory is counted and valued at specific intervals, such as at the end of a month or quarter, rather than on a continuous basis. The other choices (average cost, first-in, first-out, and last-in, first-out) are all cost-flow assumptions used to determine the value of inventory and cost of goods sold.

Which of the Following Is Not Considered an Inventory Cost-Flow