Which inventory costing method would a company that wishes to maximize profits in a period of rising prices use?

 Which inventory costing method would a company that wishes to maximize profits in a period of rising prices use?
FIFO.
Dollar-value LIFO.
Weighted-average.
Moving average.

Answer

FIFO

 You Answered Correctly!
This answer is correct. In a period of rising prices, the FIFO inventory method would result in the most recent, higher inventory costs being assigned to ending inventory. In a period of rising prices, FIFO also results in the older, lower inventory costs assigned to cost of goods sold, resulting in higher net income for the period. Therefore, this is correct.