Exercise $5-16$A $($Static$)$ Effect of inventory cost flow assumption on financial statements LO $5-6$ Exercise $5-16$A $($Static$)$ Effect of inventory cost flow assumption on financial statements LO $5-6$

Required

For each of the following situations, indicate whether FIFO, LIFO, or weighted average applies:

Required

For each of the following situations, indicate whether FIFO, LIFO, or weighted average applies:

a$.$ In a period of falling prices, net income would be highest.

b$.$ In a period of falling prices, the unit cost of goods would be the same for ending inventory and cost of goods sold.

c$.$ In a period of rising prices, net income would be highest.

d$.$ In a period of rising prices, cost of goods sold would be highest.

e$.$ In a period of rising prices, ending inventory would be highest.