A
AcadiFi
Financial Reporting and AnalysisMedium

Thornfield Industries reports the following for fiscal year 2025: beginning inventory $340,000, purchases $1,280,000, and ending inventory $390,000. Under FIFO, cost of goods sold is $1,230,000. If Thornfield had used LIFO instead (with rising prices throughout the year), which of the following adjustments is most accurate?