Saltz, Inc. maintains a perpetual inventory system and uses the First-in, First-out (FIFO) method of assigning costs. Purchases and sales of inventory for the month of July are as follows: Date Activities Units Acquired at Cost Units Sold at Retail 7/1 Beginning Inventory 10 units @ $12 each = $120 7/2 1st Purchase 32 units @ $13 each = $416 7/7 1st Sale 20 units @ $18 each = $360 7/15 2nd Purchase 23 units @ $15 each = $345 7/22 2nd Sale 35 units @ $20 each = $700 What will be the company's Cost of Good Sold and Gross Profit, respectively, for the month of July?

Answer rating: 100% (QA)

To calculate the Cost of Goods Sold COGS and Gross Profit for the month of July using the FIFO metho... View the full answer