The Following Lots of a Commodity P Were Available for Sale

question 156

Multiple Choice

The following lots of a Commodity P were available for sale during the year. Use this information to answer the questions that follow.
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The firm uses the periodic system, and there are 20 units of the commodity on hand at the end of the year.
-What is the year-end inventory balance using the FIFO method? Use the information provided in the table to answer this question

• A) $1,380
• B) $1,375
• C) $1,510
• D) $1,250

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Definitions:

Coefficient Of Variation

A statistical measure used to analyze the relative variability of data points in a dataset or the risk per unit of return; it is the ratio of the standard deviation to the mean.

Well-Diversified Portfolio

An investment portfolio consisting of a wide variety of assets to reduce exposure to risk through diversification.

Beta

A measure of a stock's volatility in relation to the overall market, indicating its risk compared to the market average.

Unsystematic Risk

The risk associated with a specific company or industry, which can be mitigated through diversification, unlike systematic risk.