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Need help preparing a memo for this problem. Any help is appreciated. Fenimore Manufacturing Company uses the average cost method. It has followed a policy

Need help preparing a memo for this problem. Any help is appreciated.

Fenimore Manufacturing Company uses the average cost method. It has followed a policy of expensing all its manufacturing cost variances. It is considering a change in its policy that will involve allocating them between cost of goods sold and inventory. Fenimore's president has asked you which of these alternative policies is consistent with GAAP.

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Research the related generally accepted accounting principles and prepare a short memo to the president. Cite your references and applicable paragraph numbers

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