Addison, Inc. uses a perpetual inventory system. Below is information about one inventory item for the month of September.

-Use the information in the table to answer this question. If Addison uses LIFO, the September 17 cost of goods sold would be:
A) $400
B) $450
C) $500
D) $600

Question

Addison, Inc. uses a perpetual inventory system. Below is information about one inventory item for the month of September.
 
-Use the information in the table to answer this question. If Addison uses LIFO, the September 17 cost of goods sold would be:  
A) $400 
B) $450 
C) $500 
D) $600

Quizplus · Accepted Answer

With LIFO, all the units sold would come from the Sep. 10 purchase; so the cost of goods sold would be $25 F1F1F1S1?F1F1F10 20 units = $500