Use this information to answer the following question. $ \begin{array}{rlrl}
\text { Feb. }&1 & \text { Inventory } & 200 \text { units @ } \$ 6.00 \
&6 & \text { Purchase } & 300 \text { units @ } \$ 6.60 \
&13 & \text { Purchase } & 100 \text { units @ } \$ 7.20 \
&20 & \text { Purchase } & 200 \text { units @ } \$ 7.80 \
&25 & \text { Purchase } & 40 \text { units @ } \$ 8.40 \
&& \text { Total sales } & 620 \text { units }
\end{array}$

A periodic inventory system is used.
Using LIFO,cost of goods sold is

Question

Use this information to answer the following question. $ \begin{array}{rlrl}
\text { Feb. }&1 & \text { Inventory } & 200 \text { units @ } \$ 6.00 \
&6 & \text { Purchase } & 300 \text { units @ } \$ 6.60 \
&13 & \text { Purchase } & 100 \text { units @ } \$ 7.20 \
&20 & \text { Purchase } & 200 \text { units @ } \$ 7.80 \
&25 & \text { Purchase } & 40 \text { units @ } \$ 8.40 \
&& \text { Total sales } & 620 \text { units }
\end{array}$

A periodic inventory system is used.
Using LIFO,cost of goods sold is

Quizplus · Accepted Answer

Under LIFO, the last items purchased are the first to be sold. The cost of goods sold is calculated using the most recent purchases first: 40 units @ $8.40, 200 units @ $7.80, 100 units @ $7.20, 280 units @ $6.60, totaling $4,464.

Use This Information to Answer the Following Question A Periodic Inventory System Is Used