A Company Just Starting in Business Purchased Three Merchandise Inventory

question 88

Multiple Choice

A company just starting in business purchased three merchandise inventory items at the following prices.March 2, $150; March 7, $160; and March 15, $180.If the company sold two units for $250 each on March 10 and March 20, and used the FIFO cost formula in a perpetual inventory system, the gross profit for March would be

• A)$200.
• B)$190.
• C)$180.
• D)$150.

---

Definitions:

Distractors

Stimuli that divert attention away from the primary task or target, often leading to decreased performance.

Conjunction Searches

A visual search task where subjects search for an object that is defined by a combination of two or more features, such as color and shape, among distractors.

Cognitive Process

Mental activities involved in acquiring, storing, retrieving, and using information, including thinking, reasoning, and problem-solving.

Practice

Repeated exercise in or performance of an activity or skill so as to acquire or maintain proficiency in it.