Which of the following statements is false?

Multiple Choice

• Companies do not have to use the same inventory method for all items of inventory.

• Companies do not have to consistently use the same inventory costing methods over time.

• Use of the LIFO inventory method during a period of increasing unit costs may create a conflict of interest between the owners and managers.

• A company choosing to maximize stockholders' equity during a period of increasing unit costs should use the FIFO inventory method.