Reference no: EM132868996
Question - Company xyz employs a periodic inventory system and sells its inventory to customers for $35 a unit. Xyz's company inventory records the following information for the month of November:
November 1: beginning inventory was 500 units @ $12 cost per unit
November 4: Sold 60 units
November 9: Purchases 450 units @ $14 cost per unit
November 17: Sold 500 units
November 19: Purchases 350 units @ $12.5 cost per unit
November 26: Purchased 375 units @ $16 cost per unit
November 29: Sold 300 units
November 30th: purchased 250 uunits @ 13.5 cost per unit
Xyz's companys operating expenses for november totaled $60,000 and the November income tax rate was 20%.
Required - Calculate the amount of gross profit reported on xyz's companys income statement for November using FIFO method.