A-LevelAccountingPreparation of financial statements9706/12 · Feb/Mar 2016 · Q221 Mark

A company provided the following information. material units cost per unit $ opening inventory 100 2.00 receipt of new inventory 400 2.10 issued to production 200 The company uses the first in first out (FIFO) method of valuing inventory. What is the cost of material issued to production?

A$400

B$410

C$416

D$420

✓ Correct answer

B: $410

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Topic: Preparation of financial statements, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Feb/Mar 2016 Paper 1 Variant 2, question 22.

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