an inventory plan that assumes that items purchased first will be sold first and that by valuing inventory items at the price of the most recent purchases, inventory values will be comparable to any rise in prices. Abbreviation:FIFOCompare last-in, first-out.
first-in, first-out (fûrst'ĭn' fûrst'out') n. A method of inventory accounting in which the oldest remaining items are assumed to have been the first sold. In a period of rising prices, this method yields a higher ending inventory, a lower cost of goods sold, a higher gross profit (assuming constant price), and a higher taxable income. Also called FIFO.
phr. first in, first out; the first items placed in the stack are the first items to be retrieved. (Computers. Acronym. See also GIGO; LIFO.) : Oh, I thought this thing was FIFO, and I put the stuff in the wrong order.
Dictionary of American Slang and Colloquial Expressions by Richard A. Spears.Fourth Edition. Copyright 2007. Published by McGraw Hill.
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[fahy-foh] 
Compare last-in, first-out.