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- 2011-7-11
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- 2013-8-21
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Cash paid to suppliers won’t change based on the inventory valuation method.
Purchases = CoGS + End Inv Beg Inv.
In case of FIFO, COGS will be less and Inv will be more. In Case of LIFO, COGS will be higher and INV. will be less by the same amount.
So the cash paid to Suppliers will always be the same.
The only CF difference would be from the Tax. |
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