Assume that three identical units of merchandise are purchased during October, as follows:
$\begin{array} { | l | l | l | l | l | }
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline { 1 } & 15 \
\hline \text { Total } & & & \underline { 3 } & \$33 \
\hline
\end{array}$ 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:
 $\begin{array} { | l | l | l | l | l | } 
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline { 1 } & 15 \
\hline \text { Total } & & & \underline { 3 } & \$33 \
\hline
\end{array}$ 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:
 $\begin{array} { | l | l | l | l | l | } 
\hline & & & \text { Units } & \text { Cost } \
\hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \
\hline & 12 & \text { Purchase } & 1 & 13 \
\hline & 28 & \text { Purchase } & \underline { 1 } & 15 \
\hline \text { Total } & & & \underline { 3 } & \$33 \
\hline
\end{array}$ 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