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Anton Co. uses the perpetual inventory system and FIFO cost flow method. During the year, Anton...

Anton Co. uses the perpetual inventory system and FIFO cost flow method. During the year, Anton purchased 1,040 units of inventory that cost $6 each and then purchased an additional 1,080 units of inventory that cost $8 each. If Anton sells 1,500 units of inventory, what is the amount of cost of goods sold? $12,000 $9,920 $9,000 $12,120

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Answer #1

Calculation of cost of goods sold:

1040 units @6= 1040*6= 6240

460 units @ 8= 3680

Total cost of goods sold= 6240+3680= 9920

So correct answer is $9920

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