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Why would management prefer to use LIFO over FIFO in periods of rising price?
Wiki User
∙ 13y ago
Using lifo in rising prices has benefit that it will charge latest costs which will reduce the profit and hence the tax charge as well.
Derrick Reichert
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What is security premium in management accounting?
Security premium in management accounting is the difference between the nominal value and the selling price of shares.
What is an uncontrollable cost?
Uncontrollable costs are those costs which are not direct controlling of management of company like price hikes by Government etc.
Why is cost accounting essential for management?
Cost accounting is used to calculate the per unit cost of product so if the management does not know the per unit product price they will not able to set the selling price of product and determine the profit per unit which they can earn and so many other important decision like these are dependent on cost accounting.
Differentiate the Financial Accounting from Cost Accounting and Management Accounting?
to know the financial position(i.e. profit or loss) and cost accounting to know the cost price of product of business and management accounting is to take the decision based on financial and cost accounting to prepare bugdget, analysis etc
If merchandise inventory is being valued at cost and the price level is steadily rising the method of costing that will yield the highest net income is?
The method of costing that will yield the highest net income is FIFO. FIFO stands for first in, first out.
Has the price of gold per ounce been continually rising?
Yes, the price of gold per ounce has been continually rising. Price is getting more and more rare. Therefore, its value will just keep on rising and rising.
In a market economy a high price is a signal for?
rising profit, because in case of scarcity, the price signal induces producers to increase their capacity because rising price means rising profitability. :)
Why the price of small cars are rising?
s
Is the price of sterling silver rising?
The price of silver (and other precious metal) bounces around. Sometimes it's rising; sometimes it's falling.
Why is the price of gold rising so quickly?
I think the price of gold is rising so fast because the economy is bad. I have a friend who invests in gold bars.
Why is the price of gas rising?
oil company GREED
Why is the price rising for fossil fuels?
Because they are running out.
Why is food prices rising?
Generally, food prices are 'rising' not because of increasing costs but due to inflation. Inflation does not reflect a real price increase (that is, it is not becoming more costly to make food) but rather a general increase in the price levels. In some specific time periods, food prices due rise but usually due to war, famine, or other problematic conditions which affect supply.
Is the price of gold expected to keep rising?
The price of gold is expected to keep rising. This is because of the state of the economny, demand for gold, and the continuing decrease of the value of a dollar.
When all the product or service brought to market is consumed the price for the product or service is considered to be a?
rising price
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25 $$$$$$$$$$ and rising like the star he is
What has the author Mark Price Perry written?
Mark Price Perry has written: 'Business driven project portfolio management' -- subject(s): Finance, Project management, Portfolio management
