Roshni MallaBeginner
Why is the answer FIFO inventory and LIFO COGS. According to me the answer should be LIFO inventory and FIFO cogs as the prices are decreasing.
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if prices are decreasing then
LIFO will show lower cogs
and FIFO will show lower inventory
but to be most conservative we should go with FIFO for cogs also as it will show lower profit.