A Foreign Subsidiary Uses the First-In First-Out Inventory Method

question 67

Multiple Choice

A foreign subsidiary uses the first-in first-out inventory method. The following inventory balances are given at December 31, 2021 in local currency units (LCU) : The following exchange rates are given for 2021: Compute the December 31, 2021, inventory balance using the current rate method.

• A) $454,400.
• B) $457,600.
• C) $596,400.
• D) $419,000.
• E) $321,000.

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