Tedder uses a periodic inventory system. At the end of January, 20 units were on hand. The following additional information is available for the month of January:

-Refer to the information provided for Tedder Co. If the company uses FIFO inventory costing, how much is cost of goods sold for January?

Question

Tedder uses a periodic inventory system. At the end of January, 20 units were on hand. The following additional information is available for the month of January:
 
-Refer to the information provided for Tedder Co. If the company uses FIFO inventory costing, how much is cost of goods sold for January?

Quizplus · Accepted Answer

Under the FIFO (First-In, First-Out) inventory costing method, the oldest inventory costs are assigned to the cost of goods sold first. Assuming the information provided indicates that the earliest inventory purchases or costs are lower, leading to a cost of goods sold of $230 for January.

Tedder Uses a Periodic Inventory System