If a company is using the first$-$in$,$ first$-$out method for material issues at a time when material prices are rising this will mean which of the following?$*$

Production costs will be lower and profits will be higher than if the last$-$in$,$ first$-$out method had been used

Production costs will be higher and profits will be lower than if the last$-$in$,$ first$-$out method had been used

Production costs will be lower and profits will be lower than if the last$-$in$,$ first$-$out method had been used

Production costs will be higher and profits will be higher than if the last$-$in$,$ first$-$out method had been used