McCarthy Company Has Inventory of 8 Units at a Cost

question 71

Multiple Choice

McCarthy Company has inventory of 8 units at a cost of $200 each on October 1.On October 2,it purchased 20 units at $205 each.11 units are sold on October 4.Using the FIFO perpetual inventory method,what amount will be reported in cost of goods sold for the 11 units that were sold?

• A)$2,239.
• B)$2,255.
• C)$2,200.
• D)$2,228.
• E)$2,215.

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Definitions:

Act Ethically

The practice of making decisions and taking actions based on ethical principles and values, ensuring fairness, integrity, and respect for others.

Encourage Complaints

A management strategy that involves actively seeking feedback, including negative feedback or complaints, to improve services or address issues.

Catastrophizing

A cognitive distortion involving an irrational thought pattern where one anticipates or exaggerates the worst possible outcome of a situation.

Irrational Beliefs

Ideas or thoughts that are not based on reality or logical reasoning, often leading to negative emotional outcomes.