Assume that three identical units of merchandise are purchased during October,as follows:
$\begin{array}{|l|r|l|c|c|}
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline{1} & \underline{15} \
\hline \text { Total } & & & 3 & \$ 33 \
\hline
\end{array}$
Assume one unit is sold on October 31 for $28.Determine cost of merchandise sold,gross profit,and ending inventory under the FIFO method.

Question

Assume that three identical units of merchandise are purchased during October,as follows:
 $\begin{array}{|l|r|l|c|c|}
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline{1} & \underline{15}  \
\hline \text { Total } & & & 3 & \$ 33 \
\hline
\end{array}$ 
Assume one unit is sold on October 31 for $28.Determine cost of merchandise sold,gross profit,and ending inventory under the FIFO method.

Quizplus · Accepted Answer

The Answer of Assume that three identical units of merchandise are purchased during October,as follows:
 $\begin{array}{|l|r|l|c|c|}
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline{1} & \underline{15}  \
\hline \text { Total } & & & 3 & \$ 33 \
\hline
\end{array}$ 
Assume one unit is sold on October 31 for $28.Determine cost of merchandise sold,gross profit,and ending inventory under the FIFO method.

Assume That Three Identical Units of Merchandise Are Purchased During