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March Ltd. values its inventory using the first in, first out (FIFO) method. At 1 May 2016 the company had 700 engines in inventory, valued
March Ltd. values its inventory using the first in, first out (FIFO) method. At 1 May 2016 the company had 700 engines in inventory, valued at 190 each. During the year ended 30 April 2017 the following transactions took place:
2016
1 July Purchased 500 engines at 220 each
1 November Sold 400 engines for 160,000
2017
1 February Purchased 300 engines at 230 each
15 April Sold 400 engines for 125,000
What is the cost of the companys closing inventory of engines at 30 April 2017?
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