26 whether purchase costs are rising or falling, fifo always will yield the highest gross profit and net…

26 whether purchase costs are rising or falling, fifo always will yield the highest gross profit and net income. true or false true false
Answer
Answer:
False
Brief Explanations:
FIFO yields the highest gross profit and net income when purchase costs are rising. When costs are falling, LIFO would yield higher gross profit and net income. So, the statement that FIFO always yields the highest is incorrect.