Question

Inventory records for Dunbar Incorporated revealed the following:Date Transaction Number of units Unit CostApr. 1 Beginning inventory 450 $2.19 Apr. 20 Purchase 410 2.69 Dunbar sold 590 units of inventory during the month. Ending inventory assuming LIFO would be (Do not round your intermediate calculations. Round your answer to the nearest dollar amount):a. $726.b. $591.c. $1,103.d. $986.

Answer 1

Step-by-step explanation:

1. Calculate ending inventory Rate per unit Total cost

number of units ($) ($)

Beg bal (April1) 450 2.19 985.50

Add:purchases

April 20 410 2.69 1102.90

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Total goods

av for sale 860 2088.40

Less: Sales:

During April 590

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Ending inventory 270

2. Cost of ending inventory = 270*2.19=$591.3