The first-in, first-out process-costing method assumes that units in beginning inventory are completed during the current accounting period.

Question

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The first-in, first-out process-costing method assumes that units in beginning inventory are completed before any newly started units during the current accounting period. Therefore, it assumes that any units in beginning inventory are completed first before new units are started in the current period.

The First-In, First-Out Process-Costing Method Assumes That Units in Beginning