1. What does the term ‘inventory cost flow assumption’ mean? 2. Explain the impact on the financial statements of using FIFO, weighted average and LIFO. When would the three methods give similar...

1. What does the term ‘inventory cost flow assumption’ mean?

2. Explain the impact on the financial statements of using FIFO, weighted average and LIFO. When would the three methods give similar profit figures? When would they give identical profit figures?

May 26, 2022