Use the Following Information for Questions

question 91

Multiple Choice

Use the following information for questions
A company just starting business made the following four inventory purchases in June: On June 25, the company made its first sale when a local customer purchased 500 units for $3,500.The company uses a perpetual inventory system.
-Using the FIFO cost method, the amount of the cost of goods sold for June is

• A)$645.
• B)$695.
• C)$1,650.
• D)$1,700.

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Definitions:

Partially Disclosed Principal

A situation in an agency relationship where the third party knows of the agent's existence but not the identity of the principal.

Respondeat Superior

A legal doctrine that holds an employer or principal legally responsible for the wrongful acts of an employee or agent, when such acts occur within the scope of employment or agency.

Power Will Terminate

The condition under which an entity's or individual's authority or ability to make decisions will come to an end.

False Claims

Assertions or statements made that are not true, which can pertain to products, services, or legal testimony.