Use the Following Information to Answer the Following Questions Assuming That the Company Uses the Perpetual Inventory System, Determine

question 113

Multiple Choice

Use the following information to answer the following questions. The Boxwood Company sells blankets for $60 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1.
$\begin{array}{|l|l|l|l|}\hline \text { Date } & \text { Product Z } & \text { Units } & \text { Cost } \\\hline \text { May 3 } & \text { Purchase } & 5 & \$ 20 \\\hline \text { May 10 } & \text { Sale } & 3 & \\\hline \text { May 17 } & \text { Purchase } & 10 & \$ 24 \\\hline \text { May 20 } & \text { Sale } & 6 & \\\hline \text { May 23 } & \text { Sale } & 3 & \\\hline \text { May 30 } & \text { Purchase } & 10 & \$ 30 \\\hline\end{array}$ Assuming that the company uses the perpetual inventory system, determine the cost of merchandise sold for the sale of May 20 using the FIFO inventory cost method.

• A) $120
• B) $180
• C) $136
• D) $144

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Definitions:

Number of Channels

Refers to the distinct paths or routes through which a company distributes its products or services to customers.

Number of Phases

refers to the distinct stages in a project, process, or lifecycle, often marked by key milestones or transitions.

Population Size

The total number of members in a group that is being studied or for which data is being collected.

M/D/1

A model in queueing theory representing a system with a single server, Poisson arrivals, and deterministic service times.