Respuesta :
10 units sold at $30 each equals $300. Then 3 units sold at $32 each equals $96.
Therefore;
300+96=
cost of units sold = $396
Therefore;
300+96=
cost of units sold = $396
Answer:
$396
Explanation:
10 units at a cost of $30 each on February 1
Total cost of inventory on February 1 = $30 × 10 = $300
On February 3, it purchases 40 units at $32 each
Total cost of purchase = $32 × 40 = $1,280
Total cost of inventory on February 3 = $1,280 + $300 = $1,580
13 units are sold on February 5 using FIFO. This means that the inventory items available on February 1 would be sold first then the items purchased on February 3. This means that if 13 items were sold on this principle (FIFO), 10 items from February 1 and 3 items from February 3 were sold.
Cost of sales = ($30 × 10) + ($32 × 3)
= $300 + $96
= $396
