Match each description to the appropriate cost flow assumption (a-d).
-Cost flow is in the order in which the costs were incurred.
A)Weighted average
B)First-in, first-out (FIFO)
C)Last-in, first-out (LIFO)
D)Specific identification

Question

Quizplus · Accepted Answer

FIFO (First-in, first-out) assumes that the costs are recognized in the order they were incurred, meaning the oldest costs are recognized first.

Match Each Description to the Appropriate Cost Flow Assumption (A-D)