Salmone Company reported the following purchases and sales of its only product.Salmone uses a perpetual inventory system.

-Determine the cost assigned to cost of goods sold using FIFO.
A)$2,460
B)$2,860
C)$2,980
D)$2,850
E)$2,590

Question

Salmone Company reported the following purchases and sales of its only product.Salmone uses a perpetual inventory system.

-Determine the cost assigned to cost of goods sold using FIFO. 
A)$2,460 
B)$2,860 
C)$2,980 
D)$2,850 
E)$2,590

Quizplus · Accepted Answer

The FIFO (First-In, First-Out) method assigns the cost of the oldest inventory to the cost of goods sold. The correct cost is $2,460.

Salmone Company Reported the Following Purchases and Sales of Its