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1. Assuming the product price is rising over time, FIFO (First in First out) cost assumption will lead to _____________? Select one: a. Higher ending
1. Assuming the product price is rising over time, FIFO (First in First out) cost assumption will lead to _____________?
Select one:
a. Higher ending inventory value.
b. All other three choices are correct.
c. Higher net income.
d. Lower cost of goods sold.
2. Assuming the product cost is rising over time (inflation environment). What is the impact of the LIFO (last in, first out) cost assumption?
Select one:
a. All other choices are correct.
b. Lower ending inventory value.
c. Lower net income and income taxes.
d. Higher cost of goods sold.
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