Why Is a Cost Flow Assumption Used

Multiple Choice

Why is a cost flow assumption used?

A) This is a systematic method for allocating costs between beginning inventory and ending inventory.
B) This is a systematic method for allocating costs between cost of goods available for sale and ending inventory.
C) This is a systematic method for allocating costs between cost of goods sold and ending inventory.
D) This is a systematic method for allocating costs between cost of goods manufactured and cost of goods sold.