Ending inventory under the fifo cost-flow method


Kip started a wholesale store this year selling bulk peanut butter. In January of this year Kip purchased an initial five tubs of peanut butter for a total cost of $5,000. In July Kip purchased three tubs for a total cost of $6,000. Finally, in November Kip bought two tubs for a total cost of $1,000. Kip sold six tubs by year end. What is Kip's ending inventory under the FIFO cost-flow method?

$12,000

$6,000

$5,000

$2,500

$1,000

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: Ending inventory under the fifo cost-flow method
Reference No:- TGS0521259

Expected delivery within 24 Hours