Question

Salmone 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 FIFO.

Week 6 Chapter 6 Quiz Help Save & Exit 15 Salmone 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 FIFO. Units Sold at Retail Units Acquired at Cost 200 units @ $15 245 units @ $17 Date Activities May 1 Beginning Inventory 5 Purchase 10 Sales 15 Purchase 24 Sales 165 units @ $25 125 units @ $18 115 units @ $26 Multiple Choice 0 $5,055 O $4,360

Answer 1

	Opening	Purchase	Closing
	Quantity	Rate	Amount	Quantity	Rate	Amount	Quantity	Rate	Amount
May-01	200	15	3000				200	15	3000
5	200	15	3000	245	17	4165	200	15	3000
							245	17	4165
Total							445		7165
10	200	15	3000	165	15	2475	35	15	525
	245	17	4165				245	17	4165
	445		7165	165		2475	280		4690
15	35	15	525	125	18	2250	35	15	525
	245	17	4165				245	17	4165
							125	18	2250
	280		4690	125		2250	405		6940
24	35	15	525	35	15	525	165	17	2805
	245	17	4165	80	17	1360	125	18	2250
	125	18	2250
	405		6940	115		1885	290		5055
	Closing value Is $5055 Option 1 IS CORRECT