Choose the Statement Which Is Correct

Multiple Choice

Choose the statement which is correct. Assume that inventory prices are rising.

A) The LIFO method gives the highest closing inventory figure in the statement of financial position.
B) The FIFO method gives the highest closing inventory figure in the statement of financial position.
C) The FIFO method gives the lowest closing inventory figure in the statement of financial position.
D) The LIFO method gives the lowest figure for cost of sales.