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Question - AbCo begins operations in 20X0, uses the periodic method and LIFO costing, and purchases merchandise as follows:
Month
20X0
20X1
20X2
February
150 @ $2.00
300 @ $4.00
450 @ $5.50
June
250 @ $2.50
450 @ $6.00
300 @ $7.00
August
100 @ $3.50
50 @ $4.50
350 @ $6.50
December
200 @ $3.00
350 @ $5.00
50 @ $8.00
AbCo's 20X0 ending inventory is 150 units; 20X1 ending inventory, 100 units and 20X2 ending inventory, 350 units. What is AbCo's 20X2 ending inventory?
a. $1,500
b. $1,575
c. $1,900
d. $1,975
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