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Tristan, Inc., uses the LIFO cost-flow assumption to value inventory. It began the current year with 1,500 units of inventory carried at LIFO cost of
Tristan, Inc., uses the LIFO cost-flow assumption to value inventory. It began the current year with 1,500 units of inventory carried at LIFO cost of $60 per unit. During the first quarter, it purchased 5,250 units at an average cost of $90 per unit and sold 5,800 units at $150 per unit.
Assume the company does not expect to replace the units of beginning inventory sold; it plans to reduce inventory by year-end to 500 units. What amount of cost of goods sold should be recorded for the quarter ended March 31?
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