Which of the following is not a disadvantage of the LIFO method? Tax consequences when involuntary liquidation occurs. Lower earnings relative to the FIFO method. Understated inventory reported on the balance sheet. All of the answer choices are disadvantages of the LIFO method. Crane Manufacturing Company has the following account balances at year-end: What amount should Crane report as inventories in its balance sheet? $121800.$130300.$52700.$97700. When goods are shipped FOB shipping point, title passes to the buyer when the seller delivers the goods to a common carrier. True False Which of the following items should be included in a company's inventory at the balance sheet date? Goods in transit, which were purchased FOB shipping point. Goods received from another company for sale on consignment. Goods sold to a customer, that were shipped FOB shipping point. Goods sold to a customer that are being held for the customer to call for at his or her convenience. A business whose inventory consists of similar items would be most likely to use which of the following cost flow assumptions? FIFO. Average-cost LIFO. Specific identification. Which cost flow assumption would be most appropriate when a relatively small number of costly, easily distinguishable items are sold? Average-cost. Specific identification. FIFO. LIFO