Answer:
$1,975
Explanation:
The computation of the ending inventory using the LIFO method is shown below:
But before that first we have to determine the cost per unit for June 1 and For June 10 i.e
June 1
= $1,300 ÷ 200 units
= $6.5 per unit
June 10
= $1,875 ÷ 250 units
= $7.5 per unit
Now the ending inventory units is 250 units so, ending inventory is
= 200 units × $6.5 per unit + (250 units - 200 units) × $7.5
= $1,300 + $675
= $1,975
This is the answer but the same is not provided in the given options
