In 2018, Richard's Department Store Changes Its Inventory Method from FIFO

question 1312

Multiple Choice

In 2018, Richard's Department Store changes its inventory method from FIFO to LIFO. Richard's uses the simplified LIFO method. Richard's year- end inventory under FIFO is as follows: 2017 - $300,000; 2018 - $350,000. The 2017 price index is 110% and the 2018 index is 120%. The 2018 layer is

• A) $50,000.
• B) $20,833.
• C) $22,727.
• D) $19,097.

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Definitions:

Foreign Objects

Items or substances present in parts of the body where they do not naturally belong, potentially causing harm.

Specimen

A sample taken from the body, like blood or tissue, that is tested or studied to understand more about a health condition.

Workforce Drug Testing

The process of screening employees or job applicants for the use of illegal drugs or misuse of prescription medication.

Toxicology

The science that deals with the effects, mechanisms, and detection of poisons and toxic substances on living organisms.