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What are the advantages and disadvantages of LIFO and FIFO in accounting?

In: Industries and Professions, Accounts Payable, Accounts Receivable [Edit categories]

Answer:

LIFO (Last In First Out) is generally used for non-perishables so there is less need to physically move the inventory, while FIFO (First In First Out) is used for perishables because it decreases loss due to spoilage.

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First answer by ID1156514836. Last edit by ID1156514836. Question popularity: 3 [recommend question].

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