11.3 Porter Farrington Limited imports components for input into its production process. In November 2012 the following deliveries into inventory and transfers to production took place in respect of component PR430:

Date Activity Units 1 November Balance of inventory @ £3.00 per unit 30 2 November Delivery of inventory @ £3.30 per unit 50 18 November Transfer to production (40)

30 November Balance of inventory 40 What is the value of closing inventory, assuming that Porter Farrington Limited adopts the FIFO convention?

a) £123

b) £126

c) £120

d) £132.