How Do You Change From LIFO To FIFO?
Change from LIFO to FIFO to ensure the sale of fresh goods. LIFO stands for last-in-first-out, meaning newly received stock is placed in front of existing stock on shelves and thus sold first. FIFO, or first-in-first-out, rotates stock so the inventory that has been on hand the longest is sold first. LIFO inventory must run out completely to keep stock from sitting on shelves for years. This is out of the question for perishable items, but it also marks the shelf time for merchandise that changes package design or adds new features. Though some retailers and suppliers don’t consider dry goods and non-food items as needing FIFO rotation, keeping stock of any kind on a shelf for too long can result in a loss of salable merchandise. Clear the shelves when receiving a new shipment. Take the old stock off the shelves to make room for the new inventory. Put the newly received stock on the back of the shelves. This ensures the older merchandise will sell first. Put the old stock back on the s
