Use This Inventory Information for the Month of September to Answer

question 151

Multiple Choice

Use this inventory information for the month of September to answer the following question. $\begin{array}{rlll}\text { Sept. } &1& \text { Beginning inventory } & 10 \text { units @ } \$ 120 \\&5 & \text { Purchase } & 60 \text { units @ } \$ 112 \\&14 & \text { Sale } & 40 \text { units } \\&21 & \text { Purchase } & 30 \text { units @ } \$ 116 \\&30 & \text { Sale } & 28 \text { units }\end{array}$
Assuming that a perpetual inventory system is used,what is ending inventory on a FIFO basis?

• A) $3,704
• B) $7,696
• C) More information is needed.
• D) $3,664

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Definitions:

Fertilizer

Substances added to soil to supply nutrients that aid in plant growth, available in organic or synthetic forms.

F-ratio

A statistic used in ANOVA tests to compare the variances between groups, determining if the means of several groups are equal.

Residual

In statistical modeling, the difference between observed values and the values predicted by a model.

Regression Analysis

A statistical method used to examine the relationship between one dependent variable and one or more independent variables.