For the Current Month, the Beginning Inventory of Elipresse Inc

Multiple Choice

For the current month, the beginning inventory of Elipresse Inc. consisted of 3 units that cost CHF5,500 each. During the month, the company made two purchases: 4 units at CHF5,800 each and 1 units at CHF5,750. Elipresse sold 5 units during the month. If Elipresse uses specific identification and wishes to maximize net income, the units costs allocated to cost of goods sold will be:

A) 5 units@CHF5,500.
B) 4 units@CHF5,800 and 1 unit @CHF5,750
C) 3 units@CHF5,500 and 1 unit @CHF5,800
D) 3 units@CHF5,500, 1 unit @CHF5,750and 1 unit @CHF5,800