a. During a period of rising purciia.se prices, will a FIFO or a LIFO cost flow assumption result in the higher cost of goods sold? the lower cost of goods sold?

Assume no changes in physical quantities during the period.

b. Which cost flow assumption. LIFO or FIFO, will result in the higher cost of goods sold during a period of declining purchase prices? the lower cost of goods sold?

(Appendix)