Graham Company uses a periodic inventory system. Details for the inventory account for the month of January 2014 are as follows: An end of the month (1/31/14) inventory showed that 120 units were on hand. If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?
A) $1,376
B) $1,424
C) $2,800
D) $3,000

Question

Graham Company uses a periodic inventory system. Details for the inventory account for the month of January 2014 are as follows:  An end of the month (1/31/14) inventory showed that 120 units were on hand. If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?
A) $1,376 
B) $1,424 
C) $2,800 
D) $3,000

Quizplus · Accepted Answer

The Answer of Graham Company uses a periodic inventory system. Details for the inventory account for the month of January 2014 are as follows:  An end of the month (1/31/14) inventory showed that 120 units were on hand. If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?
A) $1,376 
B) $1,424 
C) $2,800 
D) $3,000

Graham Company Uses a Periodic Inventory System