The FIFO method provides a major advantage over the weighted-average method in that:
A)the calculation of equivalent units is less complex under the FIFO method.
B)the FIFO method treats units in the beginning inventory as if they were started and completed during the current period.
C)the FIFO method provides measurements of work done during the current period.
D)the weighted-average method ignores units in the beginning and ending work in process inventories.

Question

Quizplus · Accepted Answer

The FIFO method provides a more accurate measurement of work done during the current period by separating the work done on beginning inventory from the work done on new units started during the period.

The FIFO Method Provides a Major Advantage Over the Weighted-Average