NO.PZ201602060100000301
问题如下：
The MD&A indicated that the prices of raw material, other production materials, and parts increased. Based on the inventory valuation methods described in Note 2, which inventory classification would least accurately reflect current prices?
选项：
A.Raw materials.
B.Finished goods.
C.Work in process.
解释：
B is correct.
Finished goods least accurately reflect current prices because some of the finished goods are valued under the "last-in, firstout" ("LIFO") basis. The costs of the newest units available for sale are allocated to cost of goods sold, leaving the oldest units (at lower costs) in inventory. ZP values raw materials and work in process using the weighted average cost method. While not fully reflecting current prices, some inflationary effect will be included in the inventory values.
Inventories. Inventories are valued at cost, not in excess of market. Cost is determined on the "average-cost" basis, except for the cost of finished products carried by certain subsidiary companies which is determined "last-in, first-out" ("LIFO") basis. Inventories valued on the LIFO basis totaled ¥94,578 million and ¥50,037 million at December 31, 2008 and 2009, respectively. Had the "first-in, first-out" basis been used for those companies using the LIFO basis, inventories would have been ¥10,120 million and ¥19,660 million higher than reported at December 31, 2008 and 2009, respectively. 没怎么看懂，可以请讲解翻译一下吗
