The Ames Company has exactly $60 in cash. The company buys three pieces of inventory which are all exactly the same for cash. Because it is a highly inflationary market, the first one cost $16, the second cost $19, and the third cost $25. Shortly thereafter, one of these three is sold for $40 cash. Answer each of the following questions. a. If FIFO is applied, how many units are now on hand

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Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.