Addison, Inc. uses a perpetual inventory system. The following is information about one inventory item for the month of September:

Sep. 1	Inventory	20 units at $20
4	Sold	10 units
10	Purchased	30 units at $30
17	Sold	20 units
30	Purchased	10 units at $40

If Addison uses FIFO, the cost of the ending merchandise inventory on September 30 is

Select one:

a.

$800

b.

$650

c.

$1,000

d.

$700