Answer:
Cost of Ending Inventory is $ 67.
Step-by-step explanation:
FIFO stands for First in First out. It is type of inventory valuation method which assumes that the inventory/stock which is purchased earlier must be issued to production. Thus, the closing inventory in case of FIFO method are composed of recently items purchased.
Cost of Ending inventory
Date Units Purchased Per Unit Cost Total Cost
April-05 5 2 10
April-10 5 2.4 12
April-15 5 2.8 14
April-20 5 3.2 16
April-22 5 3.4 17
Closing Inventory on April-22 69
One Unit is sold on April-25;
April-25 (1) (2) (2)
Closing inventory after sales of one unit;
Date Units in Hand Per Unit Cost Total Cost
April-05 4 2 8
April-10 5 2.4 12
April-15 5 2.8 14
April-20 5 3.2 16
April-22 5 3.4 17
Closing Inventory on April-25 67