Answered

Date

Units Purchased



Cost Per Unit

January 1

10 

$8.00

(Beginning inventory)


January 18

50 

9.00


February 20

20 

11.00


March 15

10 

12.00

(Ending inventory: 19)


The value of the ending inventory based on LIFO is:


$220.00.


$340.00.


$126.00.


$161.00.

Verified Answer :

mikalahucks18

161.00 I think idk lol

bcrinitiative

Answer:

The answer is $161.00

Explanation:

The LIFO (last in first out) method of valuing inventory is based on the principle that the last items bought are the first to be sold. Therefore, the 19 units in closing inventory consist of the earlier units purchased, that is: 9 units at $9.00 and 10 units at $8.00. The valuation of these units is $161 ((99) + (108)).

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