First In, First Out (FIFO) - Financial definition
Financial acronyms
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Concise definition of the term First In, First Out
FIFO is a method used to calculate the value of an inventory of goods. It assumes that the goods are being sold in the same order in which they have been acquired.
Comprehensive definition of the term First In, First Out
In the majority of companies, this is actually how goods are being handled. This is why this method is considered being the one that best reflects reality.