Question

Manufacturing cost data for Pharoah Company, which uses __________.

A) FIFO method for inventory valuation
B) LIFO method for inventory valuation
C) Weighted Average method for inventory valuation
D) Specific Identification method for inventory valuation

Answer 1

Pharaoh Company uses the FIFO method for inventory valuation.

Step-by-step explanation:

The subject of this question is Business and the relevant topic is inventory valuation methods.

The manufacturing cost data for Pharaoh Company states that it uses the FIFO method for inventory valuation.

Under the FIFO method, the first items purchased or produced are the first ones to be sold, and the cost of the inventory is based on the most recent purchases or production.