Which of the following statements regarding FIFO is incorrect?
A) Ending inventory is based on the costs of the most recent purchases.
B) FIFO is consistent with the physical movement of inventory for most companies.
C) The first units to come in are assumed to be the first units sold.
D) FIFO is a specific identification costing method because companies sell their oldest inventory first.
D) FIFO is a specific identification costing method because companies sell their oldest inventory first.
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