Glenn Company Has the Following Inventory Information Assuming That a Perpetual Inventory System Is Used What Is

question 98

Multiple Choice

Glenn Company has the following inventory information. $$\begin{array} { r l l } \text { July } 1 & \text { Beginning Inventory } & 10 \text { units at } \$ 90 \\5 & \text { Purchases } & 60 \text { units at } \$ 92 \\14 & \text { Sale } & 50 \text { units } \\21 & \text { Purchases } & 30 \text { units at } \$ 95 \\30 & \text { Sale } & 35 \text { units }\end{array}$$ Assuming that a perpetual inventory system is used what is the ending inventory (round all calculations to nearest dollar) under the moving-average cost method?

• A) $1385
• B) $1391
• C) $1405
• D) $1425

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Definitions:

Economic Efficiency

A situation where resources are allocated in a way that maximizes the production of goods and services at the lowest cost.

Market

A place or arrangement through which goods and services are exchanged between buyers and sellers.

Public Good

A commodity or service that is provided without profit to all members of a society, either by the government or by a private individual or organization.

Nonrival-in-consumption

A characteristic of goods where one person's consumption does not diminish the ability of others to use the same good.