22. Host, Inc., stocks a variety ofinventory tems. The company beganto stockitem no. 675 in February of the curent year andmade the following purchases Feb. 9 June 8 Oct. 3 200 units at $10.00 500 units at $10.50 300 units at $10.75 IfHost uses the first-in, first-out method ofinventory valuation and 350 units were onhand as of December 31, the fim's cost of goods sold would amount to $3,575 $3,750 $6,725 $6,900 d. 23. Oxford Company had a beginning inventory of 700 units that cost S9.00 each. Purchases were made in June (3.600 units) and October (5,800 units) at costs of$9.50 and S9.80, respectively. IfOxford uses LIFO and a physical count revealed 1,100 units onhand, the company's balance sheet would disclose an ending inventory valuation of. $10,100 $10,780 $86,560 $87,240 d. 24. Jackson's inventory cost on the balance sheet was lower when using first-in, first-out than when using last in, first-out. Assuming no beginning inventory, in which direction did the cost ofpurchasesmove during the year? Up Down. Steady Cannot be detemined. 25. Palmer Products purchased a new delivery truck. The truck had a manufacturer's listed retail price of $14,000 and a negotiatedpurchase price of $13,200. The purchase was subject to tems of2/10, n/30, but Palmer did notremit payment until 22 days afterthe purchase. At what amount should Palmerrecord the truck onits books? $12,936 $13,200 $13,720 $14,000 d. 26. Hanley Manufacturingpurchased a new machine on January 1,19X4, for $47,000 plus $8,000 of freight andinstallation costs. Hanleyuses the double declining methodofrecording depreciation, and estimates the machine will last 10 years and have a residual value of $5,000. What amount of depreciation will Hanley record in 19X5? $6,720 $8,800 $7,520 $8,000 d