CFAFinancial Reporting

LIFO under US GAAP for inventory means:

AFirst-In First-Out
BLast-In First-OutCORRECT
CSpecific identification
DAverage cost
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
LIFO = Last-In First-Out (allowed under US GAAP; PROHIBITED under IFRS).
Want this in Pidgin, Yoruba, Igbo or Hausa? Sign up free →

Practice more Financial Reporting questions

CFA Financial Reporting has thousands more questions like this — with Worked answers on every one.