Classic Floors Has the Following Inventory Data Assuming That a Perpetual Inventory System Is Used, What Is

question 179

Multiple Choice

Classic Floors has the following inventory data: $$\begin{array} { r l c } \text { July } 1 & \text { Beginning inventory } & 30 \text { units at } \$ 6.00 \\5 & \text { Purchases } & 120 \text { units at } \$ 6.60 \\14 & \text { Sale } & 80 \text { units } \\21 & \text { Purchases } & 60 \text { units at } \$ 7.20 \\30 & \text { Sale } & 56 \text { units }\end{array}$$ Assuming that a perpetual inventory system is used, what is the cost of goods sold on a LIFO basis for July?

• A)$931.20
• B)$472.80
• C)$1,404.00
• D)$696.00

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Definitions:

Net Income

The total earnings or profit of a company after subtracting all expenses, taxes, and costs.

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A numerical outcome-based variable originating from a random phenomenon.

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Random Variable

A variable defined by the numerical outcomes possible from random occurrences.