Dollar General Corporation was founded in 1939 as a dry goods wholesale company began opening retail locations in rural southcentral Kentucky. Today Dollar General Corporation operates more than 1300 neighborhood stores in 23 states. Serving predominately low and middle-income customers, Dollar General markets soft goods, health, beauty, and cleaning supplies at low, everyday prices.
Being in an inventory-intense business with approximately 17,000 different products, Dollar General made the decision to adopt the LIFO (last-in-first-out) method of inventory yaluation. This-method provides a better match of current costs against cerrent revenues which minimizes .......... of radical price changes on profit and loss results..........., the LIFO method resuces net income and thereby income taxes during periods from sales in line with income and allows for the replacement of inventory at current costs.