Levy's Used Cars Uses the Specific Identification Method of Costing

question 116

Multiple Choice

Levy's Used Cars uses the specific identification method of costing inventory. During March, Levy purchased three cars for $5,000, $6,500, and $8,000, respectively. During March, the first two cars are sold for $7,500 each. What is Levy's gross profit for March?

• A) $2,000
• B) $3,500
• C) $500
• D) $7,000

---

Definitions:

Intellectual Development Disorder

A disorder characterized by significant limitations in both intellectual functioning and adaptive behavior, impacting everyday social and practical skills.

Alcoholic Parent

Refers to a parent who suffers from alcoholism, a chronic disease characterized by uncontrolled drinking and preoccupation with alcohol.