Question: The weighted average cost-flow assumption is a commonly used technique to value inventory and determine cost of goods sold. It falls between LIFO and FIFO

The weighted average cost-flow assumption is a commonly used technique to value inventory and determine cost of goods sold. It falls between LIFO and FIFO as to the differential effect on inventory and cost of goods sold values, although normally it is much more like FIFO than like LIFO in its effect on the balance sheet. Why is this?

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