Assuming Rising Inventory Prices, Which Statement Is Correct

Multiple Choice

Assuming rising inventory prices, which statement is correct?

A) FIFO reports a lower profit than other methods.
B) FIFO reports a lower value for cost of sales than other methods.
C) FIFO reports a lower value for closing inventory than other methods.
D) Using FIFO, it is not possible to calculate whether cost of sales/inventory is lower or higher than it would be if other assumptions about inventory valuation were made.