The House Of Puroy Enterprises

As an accountant, I know that one of the principles in any accounting system is consistency. But why is it that LPG (liquified petroleum gas) dealers does not have any consistency in their accounting system?

Or at least, most of them.

I am referring to their inventory system.

By practice, most companies used the FIFO inventory system. FIFO means first-in, first-out. This is most specially true for perishable items, to ensure that stocks and inventory are always fresh and in good condition.

Aside from the physical movement of the merchandise, it also refers to the valuation of the inventory.
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