You are appointed financial accountant at a hardware store. Which of stock evaluation method would you use , LIFO,FIFO or weighted agverage and why.

Thank you

There is no absolute answer to that.

It depends on the type of industry you are in, what your competitors do, what management wants.

There are a million factors in making that decision.

Bets bet is to go with weighted average right now. However, if more information was available, FIFO or LIFO might make more sense.