A company purchased

300

units for

$20

each on January 31. It purchased

360

units for

$24

each on February 28. It sold a total of

450

units for

$45

each from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the

firstin,

firstout

(FIFO) inventory costing method? (Assume that the company uses a perpetual inventory system.)

Question content area bottom

Part 1

A.$ 4 comma 200

$4,200

B.$ 1 comma 050

$1,050