Vango, Inc. sells part number 86Z to auto parts stores around the world. Information about part number 86Z is contained in the table below. Vango uses a FIFO perpetual inventory system
Number of Units Unit Cost/Price Total Cost
Beginning inventory 2,000 $8.00 $16,000
Purchase 3,000 $8.20 $24,600
Sale (6,000) $15.00
Purchase 5,000 $8.60 $43,000
Determine the cost of goods sold and ending inventory value of part 86Z, if 4,000 units remain unsold in inventory at the end of the accounting period.
A) Cost of goods sold is $49,200 and ending inventory is $34,400.
B) Cost of goods sold is $34,400 and ending inventory is $49,200.
C) Cost of goods sold is $50,160 and ending inventory is $33,440.
D) Cost of goods sold is $51,200 and ending inventory is $32,400.
A
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