FIFO/LIFO Inventory D2

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FIFO/LIFO Inventory

Read: Chapters 9 and 10.

Write: Make sure your response addressing the following question is more than 200 words and you include an in-text citation or a brief quote from the reading material where appropriate.

Explain the difference between the FIFO method of inventory valuation and the LIFO method. Which of these methods best approximates the physical flow of units for most companies? Explain.

Gordon, E. A., Ready, J. S., & Sannella, A. J. (2016). Chapter 10: Short-term operating assets: Inventory (Links to an external site.)Links to an external site. (Links to an external site.)Links to an external site. [Presentation slides]. Retrieved from http://media.pearsoncmg.com/ph/bp/bridgepages/bp_g…

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