1. Why does FIFO produce the lower cost of goods sold during a period of rising prices?...

Question:

1. Why does FIFO produce the lower cost of goods sold during a period of rising prices?
2. Why does moving-weighted-average costing produce the higher cost of goods sold during a period of rising prices?
3. Which inventory costing method-FIFO or moving weighted average- results in the higher and the lower cost of ? Prices are rising.
Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...