Martin Inc. is a wholesaler of office supplies. The activity for supply number 47519 during October is shown below:

-Refer to Exhibit 7-6. If Martin Inc. uses a FIFO periodic inventory system, the ending inventory of supply number 47519 at October 31 is reported as

Question

Martin Inc. is a wholesaler of office supplies. The activity for supply number 47519 during October is shown below:
 
-Refer to Exhibit 7-6. If Martin Inc. uses a FIFO periodic inventory system, the ending inventory of supply number 47519 at October 31 is reported as

Quizplus · Accepted Answer

Under FIFO (First-In, First-Out), the oldest costs are assigned to the cost of goods sold, and the most recent costs are assigned to ending inventory. The ending inventory is calculated using the most recent purchase costs.