Final answer:
If Rite Aid had used FIFO as a cost flow assumption for all their inventories, the book value of inventories on February 27, 2021, would be the cost of the first goods purchased.
Step-by-step explanation:
If Rite Aid had used FIFO (First-in, First-out) as a cost flow assumption for all their inventories, the book value of inventories on February 27, 2021, would be:
D) It would be the cost of the first goods purchased.
FIFO assumes that the oldest goods are sold or used first, so the cost of the first goods purchased would be the basis for valuing the inventories. This means that the book value of inventories would be based on the original cost of the oldest goods in stock.