Which of the following inventory approaches is not in accord with the physical flow of merchandise in most businesses?
A)LIFO
B)FIFO
C)Specific identification
D)Average cost

Question

Quizplus · Accepted Answer

LIFO (Last-In, First-Out) often does not match the physical flow of merchandise in most businesses, as it assumes the last items purchased are the first ones sold, which is contrary to many business operations where older inventory is sold first.

Which of the Following Inventory Approaches Is Not in Accord