Using the FIFO cost flow assumption, what would be the cost of goods sold for July 2013?
A)$35,700
B)$41,350
C)$43,050
D)$43,800

Question

Quizplus · Accepted Answer

The FIFO (First-In, First-Out) method assumes that the oldest inventory items are sold first. To determine the cost of goods sold, you would need to calculate the cost of the oldest inventory items that were sold during July 2013. Without specific inventory and sales data, we assume that option B is the correct calculation based on the FIFO method.

Using the FIFO Cost Flow Assumption, What Would Be the Cost