Question

Beginning inventory, purchases, and sales data for tennis rackets are as follows: 22 units @ $17.00 Apr. 3 Inventory Purchase 15 units @ $16.00 11 Sale 14 12 units Purchase 11 units @ $19.00 21 Sale 25 15 units Assuming the business maintains a perpetual inventory system, calculate the cost of merchandise sold and ending inventory using FIFO. Select the correct answer. cost of merchandise sold $369.00 and ending inventory $454.00 cost of merchandise sold $454.00 and ending inventory $369.00 cost of merchandise sold $454.00 and ending inventory $823.00 Ocost of merchandise sold $823.00 and ending inventory $369.00

Answer 1

Cost of Goods Sold under Fifo = (12*17)+(10*17)+(5*16) = 454 Ending inventory = (10*16)+(11*19) = 369 Option B is the answer