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Lifo method calculator

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Lifo method calculator

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The last in, first out method of inventory entails using current prices to calculate the cost of goods sold, as opposed to using what was paid for the inventory already in stock.The following example can help illustrate how the calculation of the cost of sales, gross profit, and ending inventory will differ under the four inventory valuation methods. Example 1 In one year, a company received 3 shipments of 1,000 sewing machines at $110 each, then 2,500 sewing machines at $100 each, and finally 3,200 sewing machines at ...