The Following Units of an Inventory Item Were Available for Sale

question 158

Multiple Choice

The following units of an inventory item were available for sale during the year. Use this information to answer the following questions.
$$\begin{array} { l l } \text { Beginning inventory } & 10 \text { units at } \$ 55 \\\text { First purchase } & 25 \text { units at } \$ 60 \\\text { Second purchase } & 30 \text { units at } \$ 65 \\\text { Third purchase } & 15 \text { units at } \$ 70\end{array}$$ The firm uses the periodic inventory system. During the year, 60 units of the item were sold.
​
-The ending inventory cost using FIFO is

• A) $1,250
• B) $1,350
• C) $1,375
• D) $1,150

Understand the indirect method for preparing the statement of cash flows.

Interpret the implications of positive and negative cash flows in various sections of the statement of cash flows.

Identify transactions affecting the financing activities section of the statement of cash flows.

Assess the impact of changes in accounts receivable, payable, and inventory on cash flows.

---

Definitions:

Daily Presence

The regular or everyday physical appearance or attendance of someone or something within a particular space or context.

Telecommute

The practice of working from a remote location, typically home, using the internet, email, and telephone to perform one's job duties.

Customer Contact

Any interaction between a business and its customers, typically involving communication through various channels.

Analytical Competency

The ability to analyze complex information, identify patterns, solve problems, and make decisions based on sound reasoning and available data.