Cement Company, Inc

question 62

Multiple Choice

Cement Company, Inc. began the first quarter with 1,000 units of inventory costing $25 per unit. During the first quarter, 3,000 units were purchased at a cost of $40 per unit, and sales of 3,400 units at $65 per units were made. During the second quarter, the company expects to replace the units of beginning inventory sold at a cost of $45 per unit. Cement Company uses the LIFO method to account for inventory.The amount of gross profit for the first quarter is:

• A) $83,000
• B) $87,000
• C) $90,000
• D) $221,000
• E) $250,000

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Definitions:

Location

The specific place or position where something exists or is situated.

Hackman and Oldham's

A theory of job enrichment that suggests five job characteristics that, when present, increase job satisfaction and performance.

Job Design

An approach that specifies the tasks that constitute a job for an individual or a group.

Job Significance

The extent to which a job has a substantial impact on the lives or work of other people either within or outside the organization.