Chomp Pet Foods Ltds production manager Jack Jones has been under pressure from senior management to improve divisional profitability (which is also incidentally linked to his performance bonus). Jack is required to attend an upcoming meeting to explain the average performance. He approaches the management accountant Rachel Murray with the following request: Rachel, I am under pressure to lift divisional performance. This is going to happen as the summer months approach, but I need a little time. I want you to do me a favour. Could you prepare the January monthlies using FIFO method instead of the weighted average method currently used? I know that it is just as acceptable a method, and the lift in profit it shows will give me the time I need to carry over to the profitable summer season.

1. If you were Rachel, would you agree to Jacks request? Clearly explain your reasons for either agreeing or disagreeing. (Hint: Refer to the Appendix to Chapter 1 of the textbook).