QS 5-19 (Algo) Contrasting inventory costing methods LO A1 Identify the inventory costing method (SI, FIFO, LIFO, or WA) best described by each of the following separate statements. Assume a period of increasing costs. 1. Better matches current costs with revenues. 2. Results in the highest cost of goods sold. 3. Precisely matches the costs of items with the revenues they generate. 4. Tends to smooth out the erratic changes in costs. 5. Inventory on the balance sheet approximates its current cost