Lauer corporation uses the periodic inventory system and has provided the following information about one of its laptop computers:
date
1/1
5/5
8/10
10/15
transaction
beginning inventory
purchase
purchase
purchase
number of units
100
200
300
200
cost per unit
$800
$900
$1000
$1,100
during the year, lauer sold 750 laptop computers.
what was cost of goods sold using the lifo cost ow assumption?
a. $725,000.
b. $740,000.
c. $735,000.
d. $720,000.

Option (B) is correct.

Step-by-step explanation:

Given that,

Total laptop sold =  750

Since LIFO method is used, the sales shall be out of the inventories latest.

Therefore, 750 laptops shall be sold out of the following purchases:

October:

Total = Number of units × cost per unit

        = 200 × $1,100

        = $220,000

August:

Total = Number of units × cost per unit

        = 300 × $1000

        = $300,000

May:

Total = Number of units × cost per unit

        = 200 × $900

        = $180,000

January:

Total = Number of units × cost per unit

        = 50 × $800

        = $40,000

Cost of goods sold   = October + August + May + January

                                   = $220,000 + $300,000 + $180,000 + $40,000

                                   = $740,000

14

step-by-step explanation:

i think the answer would be c