IIA
IIA-CIA-PART3 · Question #48
Which of the following represents an inventory costing technique that can be manipulated by management to boost net income by selling units purchased at a low cost?
The correct answer is A. First-in. first-out method (FIFO). See the full explanation below for the reasoning.
Question
Which of the following represents an inventory costing technique that can be manipulated by management to boost net income by selling units purchased at a low cost?
Options
- AFirst-in. first-out method (FIFO).
- BLast-in, first-out method (LIFO).
- CSpecific identification method.
- DAverage-cost method
How the community answered
(19 responses)- A68% (13)
- B16% (3)
- C11% (2)
- D5% (1)
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