A-LevelAccountingPreparation of financial statements9706/12 · May/June 2016 · Q231 Mark
A business was started on 1 January. The purchases and sales of inventory for January were as follows. date purchases sales 4 January 3 at $200 each - 13 January - 2 at $400 each 26 January 3 at $250 each - 28 January - 2 at $400 each The business used the first in first out (FIFO) method of inventory valuation. What was the gross profit for January?
A$250
B$650
C$700
D$750
✓ Correct answer
D: $750
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