Ask Question
27 January, 11:06

A company had inventory of 5 units at a cost of $20 each on November 1. On November 2, they purchased 10 units at $22 each. On November 6, they purchased 6 units at $25 each. On November 8, they sold 18 units for $54 each. Using the LIFO perpetual inventory method, what was the cost of the 18 units sold?

+1
Answers (1)
  1. 27 January, 11:20
    0
    Cost of goods sold = $410

    Explanation:

    Giving the following information:

    November 1: 5 units for $20 each.

    On November 2, they purchased 10 units at $22 each.

    On November 6, they purchased 6 units at $25 each.

    On November 8, they sold 18 units for $54 each.

    The company uses LIFO (last in, first out) as an inventory method.

    Cost of goods sold = 6units*25 + 10units * 22 + 2units * 20 = $410
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “A company had inventory of 5 units at a cost of $20 each on November 1. On November 2, they purchased 10 units at $22 each. On November 6, ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers