Beginning Inventory, Purchases, and Sales for an Inventory Item Are

question 17

Essay

Beginning inventory, purchases, and sales for an inventory item are as follows: $\begin{array}{|l|l|}\hline \text { Beginning inventory } & 150 \text { units } @ \$ 755 \\\hline \text { Sale } & 120 \text { units } \\\hline \text { First purchase } & 400 \text { units } @ \$ 785 \\\hline \text { Sale } & 200 \text { units } \\\hline \text { Second purchase } & 300 \text { units } @ \$ 805 \\\hline \text { Sale } & 290 \text { units } \\\hline\end{array}$ The firm uses the perpetual inventory system and there are 240 units of the item on hand at the end of the year. What is the total cost of ending inventory according to FIFO?

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Definitions:

Freely

Without restriction or limitation; able to act, speak, or think without being hindered or constrained.

Globality

The condition or quality of being global, emphasizing a comprehensive, worldwide perspective.

Transnational Processes

Activities and phenomena that cross national boundaries, involving interactions among people, businesses, and governments of different countries.

Neoliberal Capitalist Markets

Describes economic environments characterized by free markets, deregulation, privatization, and reduced government intervention in the economy.