Assume Nile.com began April with 14 units of inventory that cost a total of $266. During April, Nile purchased and sold goods as follows:
|
Apr 8
|
Purchase
|
42 units @ $20
|
|
14
|
Sale
|
35 units @ $40
|
|
22
|
Purchase
|
28 units @ $22
|
|
27
|
Sale
|
42 units @ $40
|
Under the FIFO inventory method, how much is Nile's cost of goods sold for the sale on April 14?
a. $1,106
b. $686
c. $1,400
d. $700