Question - Effie Company uses a periodic inventory system. Details for the inventory account for the month of January, 2014 are as follows:
|
Units
|
Per Unit Price
|
Total
|
|
Balance, 1/1/14
|
200
|
$5.00
|
$1,000
|
|
Purchase, 1/15/14
|
100
|
5.30
|
530
|
|
Purchase, 1/28/14
|
100
|
5.50
|
550
|
An end of the month (1/31/14) inventory showed that 160 units were on hand. If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?