Alpha First Company Just Began Business and Made the Following

question 157

Multiple Choice

Alpha First Company just began business and made the following four inventory purchases in June: $$\begin{array} { r r r r } \text { June } & 1 & 150 \text { units } & \$ 1,040 \\\text { June } & 10 & 200 \text { units } & 1,560 \\\text { June } & 15 & 200 \text { units } & 1,680 \\\text { June } & 28 & 150 \text { units } & 1,320 \\& & & \$ 5,600 \\\hline\end{array}$$ A physical count of merchandise inventory on June 30 reveals that there are 210 units on hand.Using the LIFO inventory method the value of the ending inventory on June 30 is

• A)$1456
• B)$1508
• C)$1848
• D)$1824

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Definitions:

State-of-the-Art Equipment

The most advanced and modern tools or machinery available in a field or industry.

Factoring Accounts Receivable

The financial practice of selling a business's invoices to a third party to secure immediate cash flow.

SBA Loans

Loans backed by the Small Business Administration designed to help small businesses get started, expand, or recover.

7(a) Program

A U.S. Small Business Administration (SBA) loan program designed to provide financial assistance to small businesses.