Question

almone Company reported the following purchases and sales of its only product. Salmone uses a perpetual inventory system. Determine the cost assigned to the ending inventory using FI

Answer 1

Answer:

$2,260

Explanation:

Calculation to Determine the cost assigned to the ending inventory using FIFO.

Ending inventory cost=(80 units * $12) + (100 units * $13)

Ending inventory cost =$960+$1,300

Ending inventory cost= $2,260

Note : Purchase 220 units- Sales 140 units will gives us 80 units

Therefore the cost assigned to the ending inventory using FIFO will be $2,260