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1. Multi-step income statement means many steps are involved in creating it.
True or false
2. A service business would not have any inventory to sell on their books.
3. FIFO inventory cost flow is used when materials received first are sold first.
4. FIFO and LIFO inventory cost methods will still leave the firm with the same net income at the end of the accounting period when material costs are rising.
5. Weighted Average inventory costing will always produce a higher inventory valuation than either FIFO or LIFO will.
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