Which one of the following is not an advantage of using the FIFO cost flow assumption?

A) produces lowest net income in periods of rising prices
B) provides a relevant ending inventory value
C) is not as susceptible to profit manipulation by management
D) does not produce unusual results when inventory liquidation occurs

FIFO Cost Flow

An inventory valuation method where the cost of the earliest goods purchased are the first to be recognized as cost of goods sold.

Net Income

This refers to the amount of money a company earns after subtracting all its expenses, taxes, and costs from its total revenue.

Ending Inventory Value

The total value of all the goods available for sale at the end of a financial period.