For Each Item Listed In, Place the Letter (A Through

Multiple Choice

For each item listed in, place the letter (a through e) of the accounting effect in the space provided.You may use each letter more than once or not at all.
-During a period of increasing inventory and increasing prices, a company uses the LIFO method, which creates the largest cost of goods sold.

A) Assets and net income increase
B) Assets and net income decrease
C) Assets decrease and net income increases
D) Assets increase and net income decreases
E) Assets and net income are not affected