Valuation Method --> FIFO Periodic

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Posted on by Benson

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Hi All,

I would like to confirm & clarify the "meaning/ terminology" of

* FIFO Periodic

My understanding of "Periodic Inventory Method" is :

--> Inventory $ & Cost of Goods Sold$ are only determined "periodically" ,

such as , "by end of the month" , the Inventory$ are determined by

the Month End Physical Inventory Count , from which the Cost of Goods

Sold$ could also be accurately determined ( if the Physical Count is

accurate)

Question

1) We would like to apply "Standard Costing" in GP; hence we need to use

FIFO Periodic; Does it means we also have to use Periodic Inventory Method"

when we choose FIFO Periodic as the Valuation Method in GP?

2) When we choose "FIFO Periodic" Valuation Method in GP, will GP

automatically assign "Standard Cost- Item Maintenance" on the PO?

(when Purchaser issuing PO)

Please advise..

Thank you & Good Day

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