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Last in, first out

Also found in: Acronyms

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Last in, first out (LIFO)

An accounting method that fixes the cost of goods sold to the most recent purchases. Hence, if prices are generally rising, LIFO will lead to lower accounting profitability.

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average-cost method
First In, First Out - FIFO
first-in, first-out (FIFO)

inventory
inventory profit
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inventory valuation
Last In, First Out - LIFO
last-in, first-out (LIFO)

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