When prices fluctuate widely, which of the following method will even out the effect of fluctuations?

When prices fluctuate widely, which of the following method will even out the effect of fluctuations?

Q. When prices fluctuate widely, which of the following method will even out the effect of fluctuations?

A.            Weighted average

B.            FIFO

C.            LIFO

D.            Simple average

Answer: Weighted average

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