Aldi Company’s beginning inventory on January 1, 2023 consisted of 1,000 units costing $1.80 per unit. Purchases for the year ending December 31, 2023 were as follows: Quantity Total Cost January 25 2,500 $4,500 March 21 4,000 $9,600 April 20 3,000 $9,000 July 22 1,500 $5,400 October 14 3,200 $11,520 Sales during the period consisted of 8,200 units at a selling price of $5.10 per unit. Assuming the use of the FIFO inventory costing method, the ending inventory would be: Select one: a. $24,900 b. $27,120 c. $14,700 d. $23,820 e. $20,820
Aldi Company’s beginning inventory on January 1, 2023 consisted of 1,000 units costing $1.80 per unit. Purchases for the year ending December 31, 2023 were as follows: Quantity Total Cost January 25 2,500 $4,500 March 21 4,000 $9,600 April 20 3,000 $9,000 July 22 1,500 $5,400 October 14 3,200 $11,520 Sales during the period consisted of 8,200 units at a selling price of $5.10 per unit. Assuming the use of the FIFO inventory costing method, the ending inventory would be: Select one: a. $24,900 b. $27,120 c. $14,700 d. $23,820 e. $20,820
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Aldi Company’s beginning inventory on January 1, 2023 consisted of 1,000 units costing $1.80 per unit. Purchases for the year ending December 31, 2023 were as follows:
| Quantity | Total Cost | |
|---|---|---|
| January 25 | 2,500 | $4,500 |
| March 21 | 4,000 | $9,600 |
| April 20 | 3,000 | $9,000 |
| July 22 | 1,500 | $5,400 |
| October 14 | 3,200 | $11,520 |
Sales during the period consisted of 8,200 units at a selling price of $5.10 per unit.
Assuming the use of the FIFO inventory costing method, the ending inventory would be:
Select one:
a. $24,900
b. $27,120
c. $14,700
d. $23,820
e. $20,820
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