During a period of falling prices, which of the following inventory methods generally results in the lowest balance sheet amount for inventory.

average method

LIFO method

FIFO method

can not tell without more information

FIFO method usually results in the lowest balance sheet amount for inventory and the total current assets will be generally lower

Explanation:

Under this process the number of inventory will be lower and the total current assets are lower and this will result the product and the goods being sold at higher rate

Among the five types of inventory methods which includes the FIFO, LIFO, Dollar value LIFO, Retail inventory and average cost in this the FIFO will result in the lower gross value and the investing methods