The 2011 Form 10-K of The New York Times Company includes the following note:

4. Inventories

Inventories as shown in the accompanying Consolidated Balance Sheets were as follows:

Inventories are stated at the lower of cost or current market value. Cost was determined utilizing the LIFO method for 71% of inventory in 2011 and 66% of inventory in 2010. The excess of replacement or current cost over stated LIFO value was approximately $5 million as of December 25, 2011 and December 26, 2010. The remaining portion of inventory is accounted for under the FIFO method.

Required

1. What types of inventory costs does The New York Times Company carry? What about news-papers? Are newspapers considered inventory?

2. Why would the company choose more than one method to value its inventory?

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(In thousands) Newsprint and magazine paper Other inventory Total December 25, 2011 $16,927 $21,087 December 26, 2010 $12,596 $16,132 4,160 3,536