Which of the four inventory cost flow assumptions is best suited to inventories of high-priced, low-volume items?
A) LIFO.
B) FIFO.
C) Average.
D) Specific identification.

Question

Quizplus · Accepted Answer

Specific identification method would be best suited for high-priced, low-volume items as it allows for identification and tracking of individual items and their cost. This method is typically used for unique or highly specialized items and can provide the most accurate cost of goods sold calculation.

Which of the Four Inventory Cost Flow Assumptions Is Best