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Nat2105 [25]
3 years ago
9

Tamarisk has the following inventory data:

Business
1 answer:
DerKrebs [107]3 years ago
5 0

Answer:

Option A

Total cost of goods sold = $<u>1,007.7</u>

Explanation:

<em>Under the last -in-first-out (LIFO) method, inventory are priced using the price of the newest/latest batch in stock until a new batch is received after which the price of the new batch is used and this is continued.</em>

So we apply the principle as follows:

                                                               $                

July 14 sale of 83 units = 83× 6.90 = 572.7

July 30 sale of 58 units = 58× 7.50 = <u>435</u>

Total cost of goods sold                     <u>1,007.7</u>

Total cost of goods sold = $1,007.7

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