MLchartDataset catalogue

LIFO accounting

Term · Law · MLC-T-LAW-003049

An inventory valuation method where the cost of the most recently acquired inventory items is expensed first when goods are sold. This approach assumes that the last items purchased are the first ones out of inventory. During periods of rising costs, LIFO accounting results in a higher cost of goods sold and lower taxable income compared to other methods.

Table 1. Record
IdentifierMLC-T-LAW-003049
FieldLaw
Record as JSON 
{
  "id": "MLC-T-LAW-003049",
  "term": "LIFO accounting",
  "field": "Law",
  "definition": "An inventory valuation method where the cost of the most recently acquired inventory items is expensed first when goods are sold. This approach assumes that the last items purchased are the first ones out of inventory. During periods of rising costs, LIFO accounting results in a higher cost of goods sold and lower taxable income compared to other methods.",
  "url": "https://mlchart.com/terminology/law/lifo-accounting/"
}

Record 3,003 of 5,441 in Law terminology (MLC-0107). Request the full dataset.