If Addison uses LIFO,the cost of the ending inventory on September 30 is
A) $800
B) $650
C) $750
D) $700

Question

Quizplus · Accepted Answer

Under the Last-In, First-Out (LIFO) method, the most recently acquired items are sold first, leaving the older items in inventory. Therefore, the cost of the ending inventory is calculated based on the prices of the oldest items. Without the specific inventory purchase and sales details provided in the question, the correct answer is inferred based on the options given. The explanation assumes that option C ($750) is the correct ending inventory value under LIFO, as it would reflect the cost of the older items still in inventory.

If Addison Uses LIFO,the Cost of the Ending Inventory on September