Sam's Used Cars uses the specific identification method of costing - 8176

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  • Posted on: Tue 17 Apr, 2012
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Request Description

Sam's Used Cars uses the specific identification method of costing inventory. During March, Sam purchased three cars for $6,000, $7,500, and $9,750, respectively. During March, two cars are sold for $9,000 each. Sam determines that at March 31, the $9,750 car is still on hand. What is Sam’s gross profit for March?

A.  $4,500

B.  $8,250

C.  $5,250

D.  $750

 
Solution Description

Sam's Used Cars uses the specific identification method of costing inventory. During March, Sam purchased thr