In its first month of operation, Kuhlman Company purchased 150 units of inventory for $6, then 250 units for $7, and finally 190 units for $8. At the…

In its first month of operation, Kuhlman Company purchased 150 units of inventory for $6, then 250 units for $7, and finally 190 units for $8. At the end of the month, 230 units remained.

Compute the amount of phantom profit that would result if the company used FIFO rather than LIFO.

What is the Phantom profit?

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *