Use the Following Information for Questions

question 76

Multiple Choice

Use the following information for questions
Glasgow Enterprises started the period with 80 units in beginning inventory that cost $7.50 each.During the period,the company purchased inventory items as follows
Glasgow sold 220 units after purchase 3 for $17.00 each.

-Glasgow's cost of goods sold under FIFO would be:

• A)$1,650.
• B)$1,860.
• C)$2,310.
• D)$2,100.

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Definitions:

Unit Product Cost

The total cost associated with producing and delivering a single unit of product, including direct labor, materials, and overhead.

Absorption Costing

A financial approach that encompasses all production expenses, such as direct materials, direct labor, and all manufacturing overhead costs, both variable and fixed, into the product's price.

Direct Labor Cost

Direct labor cost is the total expense that a company incurs for labor directly involved in the manufacturing of a product or delivery of a service.

Reconciliation

The process of ensuring two sets of records or accounts are in agreement, often used in financial accounting to match bank statements with internal records.