Explain how the choice of FIFO versus LIFO can affect a firms balance sheet and income statement.

Question:

Explain how the choice of FIFO versus LIFO can affect a firm’s and income statement.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...