With LIFO,cost of Goods Sold Is $195,000,and Ending Inventory Is

question 67

Multiple Choice

With LIFO,cost of goods sold is $195,000,and ending inventory is $45,000.If FIFO ending inventory is $65,000,how much is FIFO cost of goods sold?

• A) $215,000
• B) $195,000
• C) $175,000
• D) $65,000

---

Definitions:

Periodic Inventory Method

An accounting method that records inventory purchases and sales periodically, typically at the end of an accounting period.

Repairs Expense

The cost associated with fixing or restoring property, equipment, or machines to their original condition, considered an expense on the income statement.

Store Equipment

Fixed assets like shelves, registers, and computers used in the operation of a retail store.

Periodic Inventory Method

An accounting method where inventory is physically counted and valued at specific intervals.