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Chase Co. uses the perpetual inventory method. The inventory records for Chase reflected the following Jan 1 Beginning inventory 1,400 units @ $ 4.50 Jan

Chase Co. uses the perpetual inventory method. The inventory records for Chase reflected the following

Jan 1 Beginning inventory 1,400 units @ $ 4.50
Jan 12 Purchase 1,500 units @ $ 4.30
Jan 18 Sales 1,600 units @ $ 6.00
Jan 21 Purchase 1,400 units @ $ 4.60
Jan 25 Purchase 1,200 units @ $ 4.40
Jan 31 Sales 1,550 units @ $ 6.00

Assuming Chase uses a FIFO cost flow method, the cost of goods sold for the sales transaction on January 31 is:

Multiple Choice

  • $7,205.

  • $6,945.

  • $10,570.

  • $6,740.

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