The LIFO inventory method assumes that the cost of the latest units purchased are
A. the last to be allocated to cost of goods sold.
B. the first to be allocated to ending inventory.
C. the first to be allocated to cost of goods sold.
D. not allocated to cost of goods sold or ending inventory.
Answer:C
The LIFO inventory method assumes that the cost of the latest units purchased are
A. the last to be allocated to cost of goods sold. B. the first to be allocated to ending inventory. C. the first to be allocated to cost of goods sold. D. not allocated to cost of goods sold or ending inventory.