An item of inventory is purchased for $1,500. The sales price was $2,000, but as the item has now been replaced by a new model, it can only be sold for a discounted price of $1,350. The scrap value of the item is $1,100. To sell or scrap the inventory will involve transport costs of $100. The value of the inventory for statement of financial position purposes is
- $1,500
- $1,350
- $1,250
- $1,000
Purchases made during the month:
|
Feb 10 |
6,000 @ $2 |
|
Feb 20 |
3,000 @ $2.20 |
|
Feb 28 |
2,000 @ $2.30 |