Although a firm may use different inventory valuation methods, generally accepted accounting principles (GAAP) states that these methods must produce the same dollar value for the cost of goods sold.

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The accounting treatment of inventory may be different. Depending upon whether the accountant is using FIFO [first-in, first-out] or LIFO [last-in, first-out], the value of cost of goods sold may be different.

Although a Firm May Use Different Inventory Valuation Methods, Generally