Accounting

Accounting

LIFO vs. FIFO

LIFO Method

The abbreviation LIFO stands for "last in first out", meaning that the consumer goods that have been bought as a last resort, to be used as the first again. It is like a grain mountain that is needed for the harvest. The wheat was harvested first is at the bottom and all other charges on the mountain on it poured, so that the processing of wheat into flour as the first, the last charge is used. The advantages of last in first out for Sagehen Enterprises are related to better costs with current sales pipeline. LIFO is recommended ...