Koontz Company Uses the Perpetual Inventory Method

question 49

Multiple Choice

Koontz Company uses the perpetual inventory method.On January 1,2016,the company's first day of operations,Koontz purchased 400 units of inventory that cost $7.50 each.On January 10,2016,the company purchased an additional 600 units of inventory that cost $9.00 each.If Koontz uses a weighted average cost flow method and sells 550 units of inventory,the amount of inventory appearing on balance sheet following the sale will be approximately:

• A)$3,780.
• B)$4,738.
• C)$3,080.
• D)$3,713.

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Definitions:

Federal Government

The national government of a federated state, responsible for the country's political authority and realization of its laws.

Corporate World

A term referring to the business sector, encompassing companies, corporations, and their activities, cultures, and influence in the economy.

Progressive Era's Reform Measures

A period of widespread social activism and political reform across the United States, from the 1890s to the 1920s, aimed at addressing issues caused by industrialization, urbanization, immigration, and corruption.

Federal Government

The national government of a federal country, such as the United States, which has specific powers delegated to it by a constitution.