Anton CoUses the Perpetual Inventory System and FIFO Cost Flow Method

question 12

Multiple Choice

Anton Co.uses the perpetual inventory system and FIFO cost flow method.During the year,Anton purchased 400 units of inventory that cost $12.00 each and then purchased an additional 600 units of inventory that cost $16.00 each.If Anton sells 700 units of inventory,what is the amount of cost of goods sold?

• A)$11,200
• B)$10,400
• C)$8,400
• D)$9,600

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Definitions:

Malabsorption

A disorder where the intestines fail to efficiently absorb nutrients from food, leading to deficiencies and other health issues.

Iron Supplements

Products taken to increase iron levels in the body, often used to treat or prevent iron-deficiency anemia.

Ostomy

A surgical procedure creating an opening in the body for the discharge of body wastes.

Stoma

A surgically created opening on the surface of the body which connects to the digestive or respiratory system to allow waste to leave the body.