Why would a company use LIFO instead of FIFO?
To date, 105 of the company’s product have been purchased. Using the FIFO method, they would look at how much each item cost them to produce. Since only 100 items cost them $50.00, the remaining 5 will have to use the higher $55.00 cost number in ord...
FIFO
The costs paid for those recent products are the ones used in the calculation. Under LIFO, a business records its newest products and inventory as the first items sold. The opposite method is FIFO, where the oldest inventory is recorded as the first ...
The Fundamental and Enhancing Qualitative Characteristics Essay Example
The results further indicate that the respondents perceived faithful representation and relevance as having greater potential of enhancing the quality of financial reporting, with an average mean score of 3.2 and 3.1 respectively. Findings also revea...