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A company purchased 500 units for $30 each on January 1. It purchased 650 units for $39 each on February 28. It sold a total of 660 units for $45 from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the first - in first - out inventory costing method? (Assume that the company uses a perpetual inventory system).

A company purchased 500 units for $30 each on January 1. It purchased 650 units for $39 each on February 28. It sold a total of 660 units for $45 from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the first - in first - out inventory costing method? (Assume that the company uses a perpetual inventory system).

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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A company purchased 500 units for $30 each on January 1. It purchased 650 units for $39 each on February 28. It sold a total of 660 units for $45 from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the first - in first - out inventory costing method? (Assume that the company uses a perpetual inventory system).
Transcribed Image Text:A company purchased 500 units for $30 each on January 1. It purchased 650 units for $39 each on February 28. It sold a total of 660 units for $45 from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the first - in first - out inventory costing method? (Assume that the company uses a perpetual inventory system).
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