A retailer of pet fish looks in the fish tank at the end of his first financial year, 31 December, and counts 500 goldfish. All the fish are bought from the same supplier, but prices change frequently. Details of inventory purchases and sales are as follows:

Number purchased

(fish)

Cost of each fish (£)

Sales at end of month

(fish)

1 Jan 350 2 –

1 Mar 600 3 300 1 Jul 800 4 550 1 Oct 700 5 1,000 1 Dec 650 6 750 31 Dec (Closing inventory) 500 ?

What value should be placed on the closing inventory?