Accountancy, asked by queenmanaswini, 1 month ago

which method of valuing material issues is suitable in the times of raising prices​

Answers

Answered by rprasanta708
1

Answer+Explanation:   LIFO method : In times of rising prices, LIFO method of pricing issues is suitable because materials are issued at the current market prices which are high. This method thus helps in showing a lower profit because of increased charge to production during periods of rising prices and lower profit reduces burden of income-tax.

Answered by tamilselvan9486460
1

Answer:

I hope It is useful for you

Explanation:

In times of rising prices, LIFO method of pricing issues is suitable because materials are issued at the current market prices which are high. This method thus helps in showing a lower profit because of increased charge to production during periods of rising prices and lower profit reduces burden of income-tax.

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