The First-In, First-Out (FIFO)method Creates Better Month-To-Month Cost Comparisons Than

Multiple Choice

The first-in, first-out (FIFO) method creates better month-to-month cost comparisons than the weighted-average method:

A) as it does not recognize transferred in units from other processes.
B) when there are substantial quantities of units in process at the end of the period.
C) because it merges costs from the prior period with the current period.
D) as it is used by industries that do not experience significant cost changes.