Question - A company just starting business made the following four inventory purchases in June.
|
Date
|
Number of units purchased
|
Total cost
|
|
June 1
|
170 units
|
$360
|
|
June 10
|
240 units
|
590
|
|
June 15
|
240 units
|
600
|
|
June 28
|
160 units
|
470
|
|
|
|
$2020
|
A physical count of merchandise inventory on June 30 reveals that there are 280 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for June is
$1250.
$655.
$770.
$1404.