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Problem 1: Salmone Company reported the following purchases and sales of its only product. Salmone uses a perpetual inventory system. Determine the cost assigned to the ending inventory using FIFO. Date Activities Units Acquired at Cost Units Sold at Retail
May 1 Beginning inventory 168 units @ $10 = $1,680
May 5 Purchase 238 units @ $12 = $2,856
May 10 Sales 158 units @ $20
May 15 Purchase 118 units @ $13 = $1,534
May 24 Sales 108 units @ $21
Multiple Choice Option 1: $3,214 Option 2: $2,856 Option 3: $3,084 Option 4: $2,824 Option 5: $3,094
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