Specific Identification Method
My wife manages Stark Carpet’s San Francisco showroom. Their offerings include antique Oriental and Persian rugs with retail values in the tens to hundreds of thousands of dollars. This kind of inventory fits the specific identification method’s criteria i.e., high-end/price, low volume sales that track each inventory item individually as either a cost of goods sold on the income statement or a remaining asset on the balance sheet.
Dr. Walther presented specific identification as an alternative to FIFO, LIFO, and the weighted-average cost-flow assumptions. I’ve been looking across all four methods to understand what makes specific identification different. FIFO, LIFO, and the weighted-average methods permit a
My wife manages Stark Carpet’s San Francisco showroom. Their offerings include antique Oriental and Persian rugs with retail values in the tens to hundreds of thousands of dollars. This kind of inventory fits the specific identification method’s criteria i.e., high-end/price, low volume sales that track each inventory item individually as either a cost of goods sold on the income statement or a remaining asset on the balance sheet.
Dr. Walther presented specific identification as an alternative to FIFO, LIFO, and the weighted-average cost-flow assumptions. I’ve been looking across all four methods to understand what makes specific identification different. FIFO, LIFO, and the weighted-average methods permit a