At the end of 2007, Decatur Corporation re

问题单项选择题

At the end of 2007, Decatur Corporation reported last-in, first-out (LIFO) inventory of $ 20 million, cost of goods sold (COGS) of $64 million, and inventory purchases of $58 million. If the LIFO reserve was $ 6 million at the end of 2006 and $16 million at the end of 2007, compute first-in, first-out (FIFO) inventory at the end of 2007 and FIFO COGS for the year ended 2007.FIFO Inventory FIFO COGS（）

A. $ 36 million $ 74 million

B. $ 36 million $ 54 million

C. $ 26 million $ 54 million

答案

参考答案：B

解析：

2007 FIFO inventory was $ 36 million ( $ 20 million LIFO inventory+$ 16 million reserve). 2007 FIFO COGS was $ 54 million ($ 64 million LIFO COGS -$ l0 million increase in LIFO reserve).