Question

g Which inventory costing method assigns to ending merchandise inventory the newestlong dashthe most recentlong dashcosts incurred during the​ period? A. ​Weighted-average B. ​First-in, first-out​ (FIFO) C. Specific identification D. ​Last-in, first-out​ (LIFO)

Answer 1

Answer:

B. ​First-in, first-out​ (FIFO)

Explanation:

First-in, first-out (FIFO) is an accounting principle which refers to a process whereby assets that are purchased first are sold first. In this situation, the cost in which the particular inventory was purchased is still the same cost with which it is sold out.

First-in, first-out principle can be used to determine the profitability of a merchandise with its associated cost taken into consideration.

Answer 2

Answer:

The correct answer is letter "B": First-in, first-out​ (FIFO).

Explanation:

A business that uses the inventory valuation principle "First In, First Out" (FIFO) must sell, use or dispose first of all the assets it produces or acquires. According to the FIFO process, the most recent assets purchased or generated are those that remain in inventory. Older stock is first removed from inventory.