Chapter 7 Flashcards
1
Q
FIFO
A
First, in first out
2
Q
LIFO
A
Last in first out
3
Q
LIFO reserve
A
The difference between a company inventory valued at LIFO and what it would be under FIFO
4
Q
Cost of Goods Sold Equation
A
Beginning Inventory
Plus: purchases
= Cost of Goods Available for Sale
Minus: ending Inventory
= Cost of Goods Sold Expense
