Is LIFO allowed under IFRS?

There are two common accounting methods used to value inventory: First In First Out (FIFO) and Last In Last Out (LIFO). Only FIFO is permitted […]

When would a company use LIFO?

Key takeaway: FIFO and LIFO allow businesses to calculate COGS differently. From a tax perspective, FIFO is more advantageous for businesses with steady product prices, […]

What industry uses FIFO?

FIFOMost companies prefer FIFO to LIFO because there is no valid reason for using recent inventory first, while leaving older inventory to become outdated. This […]

Where LIFO method is used?

When prices are rising, it can be advantageous for companies to use LIFO because they can take advantage of lower taxes. Many companies that have […]