Answered

Welcome to Westonci.ca, where curiosity meets expertise. Ask any question and receive fast, accurate answers from our knowledgeable community. Join our Q&A platform to get precise answers from experts in diverse fields and enhance your understanding. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Select all that apply:

There are advantages to using each of the four inventory costing methods. Identify the statements below that are correct regarding these advantages.

(Check all that apply.)

A. LIFO mimics the actual flow of goods for most businesses.
B. FIFO assigns an amount to cost of goods sold on the income statement that approximates its current replacement cost.
C. FIFO assigns an amount to inventory on the balance sheet that approximates its current cost.
D. Weighted average tends to smooth out erratic changes in costs.

Sagot :

GinnyAnswer

Final answer:

FIFO assigns cost of goods sold approximating current replacement cost, weighted average smooths out cost changes.


Explanation:

FIFO assigns an amount to cost of goods sold on the income statement that approximates its current replacement cost. Weighted average tends to smooth out erratic changes in costs.


Learn more about Inventory costing methods here:

https://brainly.com/question/14923857


We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Westonci.ca is here to provide the answers you seek. Return often for more expert solutions.