Question

The Boxwood Company sells blankets for $39.00 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1.

Date	Blankets	Units	Cost
May 03	Purchase	24	$11.00
May 10	Sale	10
May 17	Purchase	29	$13.00
May 20	Sale	12
May 23	Sale	8
May 30	Purchase	22	$14.00

Assuming that the company uses the perpetual inventory system, determine the gross profit for the sale of May 23 using the FIFO inventory cost method.

Select the correct answer.

$212

$154

$104

$128

Answer 1

Answer is given below