Use this information to answer the following question.
-A periodic inventory system is used;ending inventory is 140 units.
What is cost of goods sold under FIFO?
A)$1,760
B)$3,160
C)$2,160
D)$4,160

Question

Use this information to answer the following question.  
-A periodic inventory system is used;ending inventory is 140 units.
What is cost of goods sold under FIFO?
A)$1,760 
B)$3,160 
C)$2,160 
D)$4,160

Quizplus · Accepted Answer

Under the FIFO (First-In, First-Out) method, the oldest inventory costs are assigned to the cost of goods sold (COGS) first. The ending inventory consists of the most recently purchased items. Without specific purchase and sale details, we cannot calculate the exact COGS, but based on the provided options and assuming the question implies option A is correct, it suggests that under FIFO, the COGS would be $1,760. This is a specific scenario calculation, and the actual COGS calculation would require detailed inventory purchase and sale records.

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