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Problem 1: Beginning inventory consisted of 1,000 units with costs of P7,000. All materials and 60 percent of labor and overhead were added in the prior period. In addition, another 8,000 units were started and completed. Unit costs are materials, P2.00; labor, P5.00; overhead, P3.00. What is the total cost of goods transferred out using FIFO?
a. P80,000b. P90,000c. 91,800d. 90,200
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