A company just starting business made the following four inventory purchases in June. Number of units Date purchased Total cost June 1 100 units $450 June 10 250 units 590 June 15 250 units 620 June 28 100 units 510 $2170 A physical count of merchandise inventory on June 30 reveals that there are 300 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for June is $1006. $1164. $1671 $922.

A company just starting business made the following four inventory purchases in June. Number of units Date purchased Total cost June 1 100 units $450 June 10 250 units 590 June 15 250 units 620 June 28 100 units 510 $2170 A physical count of merchandise inventory on June 30 reveals that there are 300 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for June is $1006. $1164. $1671 $922.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 3RE: Reid Company uses the periodic inventory system. On January 1, it had an inventory balance of...

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