A Company Uses Periodic Inventory in Connection with FIFO Costing

question 16

Multiple Choice

A company uses periodic inventory in connection with FIFO costing. The company began the year with zero inventory balance. They had the following transactions during the year: At the end of the year, they counted the inventory and found 55 units remaining. How much was the Cost of goods sold for the year? (Please round to the nearest whole dollar.)

• A)$541
• B)$582
• C)$626
• D)$680

---

Definitions:

Taste Buds

Small sensory organs located on the tongue that allow humans to perceive different tastes.

Digestive

Pertaining to digestion.

Preicteric

Referring to the initial phase of a disease, particularly liver disease, that occurs before the onset of jaundice, where the skin turns yellow.

Jaundice

A medical condition characterized by yellowing of the skin and the whites of the eyes caused by an increase in bilirubin in the bloodstream.