What is LIFO and FIFO?

Answer by  Lilia (7)

LIFO and FIFO are terms used in accounting. They are methods that are used to calculate the cost of a firm's inventory. LIFO (Last In First Out) assumes that the most recently purchased items are sold first, while FIFO (First In First Out) assumes that older items sold first.

Answer by  Mariana39 (440)

Both of them are accounting methods for business inventory. LIFO stands for 'last in first out" (meaning the last product acquired will be the first to be sold), while FIFO stands for 'first in first out'. They are used to evaluate the stocks at any given time for bookkeeping purposes.

Answer by  Redmmatt (23)

LIFO and FIFO are accounting methods used to track the value of inventory. LIFO stands for Last In First Out and FIFO stands for First In First Out.