Hogan Industries Had the Following Inventory Transactions Occur During 2022

question 107

Multiple Choice

Hogan Industries had the following inventory transactions occur during 2022: $$\begin{array} { r l l c } & & \text { Units } & \text { Cost/unit } \\\text { Feb. 1, 2022 } & \text { Purchase } & 108 & \$ 45 \\\text { Mar. 14,2022 } & \text { Purchase } & 186 & \$ 47 \\\text { May 1, } 2022 & \text { Purchase } & 132 & \$ 49\end{array}$$ The company sold 306 units at $63 each and has a tax rate of 30%.Assuming that a periodic inventory system is used what is the company's gross profit using FIFO? (rounded to whole dollars)

• A)$14646
• B)$14190
• C)$5088
• D)$4632

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Definitions:

Water Seal

A system used primarily in chest drainage that prevents air from re-entering the pleural space while allowing gases and fluid to escape, typically part of a chest tube setup.

Blood-Tinged

Describes a fluid or secretion that is slightly colored with blood, indicating minor bleeding.

Drainage

The removal of fluids from a body cavity, wound, or other source of accumulation, often through natural or artificial means.

Water-Seal Chamber

A compartment within a thoracic drainage system that prevents air from re-entering the pleural space and allows the removal of air and fluid from the chest.