Inventory Valuation Methods: Specific Identification, FIFO, LIFO & Weighted Average

The FIFO Method: First In, First Out

Answered: Calculate the gross profit using: 3.1. FIFO method (10) 3.2. Weighted average method (10) | bartleby

What is the FIFO Method and How Can it Be Used?

Required:1. Does Target use average cost, FIFO, or LIFO as its inventory cost flow assumption?3. Calculate the gross profit ratio and the inventory turnover ratio for the fiscal year ended February 1, 2020. Compare Target's ratioswith the industry averages of 24.5% and 7.1 times. Determine whether Target's ratios indicate the company is more or less profitableand sells its inventory more or less frequently compared to the industry average.Complete this question by entering your answers in the ta