Question:
In periods of rising prices and stable or increasing inventory quantities, compared with companies that use LIFO inventory accounting, companies that use the FIFO method will have:
A
higher net income and higher taxes.
Explaination
FIFO companies have higher net income, lower COGS, higher inventory, and higher taxes.
Take more free practice tests for other ASVAB topics with our
cfa level 1 exam now!