I defined a new item in the inventory and selected the valuation method as FIFO (First In, First Out). I then created two purchase invoices with different costs (for example, the first for $5,000 and the second for $6,000). After that, I created a sales invoice. I noticed that the cost of goods sold for the item is calculated based on the average cost, even though I defined the item on the FIFO system.
Please help and point out this error.