Question

When perpetual inventory records are kept, the results under the fifo and lifo methods are the same as they would be in a periodic inventory system." do you agree?

Answer 1

No, I disagree with the given statement because only the results under FIFO method remain same in both perpetual and periodic inventory systems of inventory recording while the results under LIFO method may vary. This is because the cost of goods available for sale changes under LIFO method.