Effie Company Uses a Periodic Inventory System

question 54

Multiple Choice

Effie Company uses a periodic inventory system. Details for the inventory account for the month of January, 2015 are as follows: An end of the month (1/31/15) inventory showed that 160 units were on hand. If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?

• A)$1,120
• B)$1,188
• C)$1,532
• D)$1,600