Question

We purchased 300 pairs of Jordans at the beginning of the year for $100 per pair. During the year we sold 500 pairs for $300 each. We later ordered 300 more pairs at $110 each. Answer the following questions using this format $xx,xxx.00.

What is our Cost of Goods sold using the FIFO method?

Answer 1

Explanation: The variable cost will be $32 per pair of shoes. The shoes will sell for $108 for each pair.