Answer the following statements true (T) or false (F)
1) The last-in, first-out (LIFO) costing system may or may not match the physical flow of goods.
2) The last-in, first-out (LIFO) costing system is permitted under International Financial Reporting Standards (IFRS).
3) Under International Financial Reporting Standards (IFRS), companies may only use the specific identification, FIFO, and weighted-average methods to cost inventory.
4) When a company uses the last-in, first-out (LIFO) method, the cost of goods sold represents the costs of most recently purchased goods, and the ending inventory represents the oldest costs.
5) When using the weighted-average inventory costing method in a perpetual inventory system, a new weighted average cost per unit is computed at the end of each quarter.
1. TRUE
2. FALSE
3. TRUE
4. TRUE
5. FALSE
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