Under FIFO, inventory purchased on June 15th, 2010, would be sold first, as it is the earliest date among the given options, adhering to the FIFO principle. Here option B is correct.
In a FIFO (First In, First Out) inventory system, the assumption is that the first inventory items purchased are the first to be sold. So, if today is August 4th, 2010, and your company uses FIFO, inventory purchased on the earliest date should be sold first.
The inventory purchased on B. June 15th, 2010 should be sold first. This is because it was the earliest purchase date among the options. FIFO ensures that the oldest inventory is used or sold before more recently acquired inventory.
Therefore, the goods purchased on June 15th, 2010, would be the first to be sold under the FIFO method. Here option B is correct.
Complete question:
If today is August 4th, 2010, and your company uses FIFO, inventory purchased on which of these dates should be sold first?
A. July 15th, 2010
B. June 15th, 2010
C. July 30th, 2010
D. June 30th, 2010