Question
Tiki Ltd had five units of the commodity Algo on hand at 1 June 2019. The following purchases and sales were made during June: Opening
Tiki Ltd had five units of the commodity Algo on hand at 1 June 2019. The following purchases and sales were made during June:
| Opening balance | Purchases | Sales | |||
| June 1 | 5 units @ $200 | June 3 | 5 units @ $240 | June 7 | 7 units |
|
|
| 12 | 3 units @ $260 | 27 | 5 units |
|
|
| 25 | 6 units @ $200 |
|
|
What was the value of cost of sales of Algo, using the FIFO assumption in a perpetual inventory system?
a. $2,640
b. $2,720
c. $2,700
d. $2,400
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Financial Accounting
Authors: LibbyShort
7th Edition
78111021, 978-0078111020
