Use the information below to answer the following questions.
The Boxwood Company sells blankets for $60 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1.

-Assuming that the company uses the perpetual inventory system, determine the cost of goods sold for the sale of May 20 using the FIFO inventory cost method.
A) $120
B) $180
C) $136
D) $144

Question

Use the information below to answer the following questions.
The Boxwood Company sells blankets for $60 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1.
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-Assuming that the company uses the perpetual inventory system, determine the cost of goods sold for the sale of May 20 using the FIFO inventory cost method.
A) $120 
B) $180 
C) $136 
D) $144

Quizplus · Accepted Answer

The cost of goods sold for the sale of May 20 using FIFO = 2 units at $20 from the May 3 purchase + 4 units at $24 from the May 17 purchase = $40 + $96 = $136?

Use the Information Below to Answer the Following Questions