1. Which inventory method, FIFO or LIFO, more nearly approximates the physical flow of products in most businesses? Explain your answer. 2. Which inventory costing method should a company use when it...

1. Which inventory method, FIFO or LIFO, more nearly approximates the physical flow of products in most businesses? Explain your answer.

2. Which inventory costing method should a company use when it wants to minimize taxes? Does your response depend on whether prices are rising or falling? Explain your answers.