One thought on “Why Would You Use FIFO over LIFO?

  1. Arti says:

    Both are legal although the LIFO method is often frowned upon because bookkeeping is far more complex and the method is easy to manipulate. In the United States, a business has a choice of using either the FIFO (“First-In, First Out”) method or LIFO (“Last-In, Last-Out”) method when calculating its cost of goods sold.

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