Use This Inventory Information for the Month of July to Answer

question 41

Multiple Choice

Use this inventory information for the month of July to answer the following question. Assuming that a periodic inventory system is used,what is cost of goods sold on a FIFO basis?

• A)$7,696
• B)$7,736
• C)$3,664
• D)$3,704

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Definitions:

Durability

The quality of being able to withstand wear, pressure, or damage; the ability of a product to last for a long time.

Used-Toyota Market

A specific segment of the automobile market dealing with the buying and selling of pre-owned Toyota vehicles.

Consumer Goods

Consumer Goods are products bought for consumption by the average consumer, distinguishing them from items used in production of other goods or services.

Capital Goods

Long-term assets like buildings, machinery, and equipment used in the production of goods and services.