Using LIFO method of stock valuation, analyze the issue quantities and their prices
FINANCIAL
JAMB 2015
Using LIFO method of stock valuation, analyze the issue quantities and their prices
- A. 260 units at N1.50
- B. 700 units at N1.50
- C. 200 units at N1.50 and 500 units at N1.00
- D. 350 units at N1.50 and 350 units at N1.00
Correct Answer: A. 260 units at N1.50
Explanation
given that a maximum of 260 units can be taken from the last receipt, the balance of 440 units (700-260) would be issued at N 1.00 which would be taken from the first materials received (100 units)
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