MC43 A business has just completed its first year of trading. The cost of its closing inventory valued using the AVCO method is 7,300. If the FIFO method had been used it would have been 8,100. The effect of adopting FIFO instead of AVCO on this business's first set of annual financial statements would be: (A) To increase total assets, with no effect on profit (B) To increase current assets and increase gross profit (C) To increase net assets and reduce net profit (D) To increase non-current assets and increase net profit