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    Just-in-time inventory

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    The company X was using LIFO for 25 years. Why switching to JIT inventory could be a bad idea?

    © BrainMass Inc. brainmass.com October 9, 2019, 5:38 pm ad1c9bdddf

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    The company X was using LIFO for the last 25 years in order to gain significant tax benefits due to rising inventory prices throughout the year because LIFO is kind of accounting system in which goods purchased at the end of the period are considered to be used first, therefore the oldest inventory is the last one to be used. Therefore, in the event of increasing prices of ...

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    Just-in-time inventory is discussed in this solution.