Post Utme Bells University 2020 Commerce Question 28

Practice objective / multiple choice question 28 from the 2020 Post Utme Bells University Commerce examination.

Post Utme Bells University 2020 Commerce Objective / Multiple Choice
Question 28 POST_UTME_BELLS_UNIVERSITY • 2020 • COMMERCE • objective

A firm's warehousing and stock control system involves the use of a first-in-first-out (FIFO) inventory system. Which of the following is a characteristic of a FIFO system?

Answer Options

Correct Answer A. It assumes that the oldest inventory items are sold first
B. It assumes that the newest inventory items are sold first
C. It assumes that the inventory items are sold in the order they were received
D. It assumes that the inventory items are sold in the order of their prices
Correct Answer
A
Correct Option:
It assumes that the oldest inventory items are sold first

About This Question

This is Post Utme Bells University 2020 Commerce Question 28. It is one of the objective questions from the 2020 Post Utme Bells University Commerce examination.

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