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UNITS UNIT PRICE VALUE
1 Jan 2001 Balance b/f. 100 5 500
3 March 2001 Issue 40 – –
4 June 2001 Reciepts 50 5.5 275
6 June 2001 Reciepts 50 6 300
9 Sep. 2001 Issue 70 – –What is the value of closing inventory if LIFO is used?
Sir the answer in the book was $410
I don’t understand how this was the answer sir
I feel like the book has calulated the value of issue on 9th september instead of finding the closing inventoryThis is how I tried to find the answer of closing inventory sir
(60*5)+(30*5.5)
Please help me figure out where I went wrong sir
60*5
Assuming that you have copied the question correctly (and that is does ask for the value of the closing inventory) then it seems there is a mistake in your book, because the correct answer is $465 as you have calculated.
If it is a question in the current edition of the BPP Revision Kit then tell me which one and I will check.
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