Which of the following statements is(are) true?
I. For cost control, the FIFO method of process costing is better than the weighted-average method.
II. The weighted-average method of process costing assigns more cost to units completed (transferred out) than the FIFO method.
A) Only I is true.
B) Only II is true.
C) Both of these are true.
D) Neither of these is true.

Question

Quizplus · Accepted Answer

FIFO assigns the earliest costs to the units completed, resulting in lower cost of goods sold and higher ending inventory costs.

Which of the Following Statements Is(are) True