A Company Just Starting in Business Purchased Three Merchandise Inventory

Multiple Choice

A company just starting in business purchased three merchandise inventory items at the following prices.March 2, $75; March 7, $80; and March 15, $90.If the company sold two units for $125 each on March 10 and March 20, and used the FIFO cost formula in a perpetual inventory system, the gross profit for March would be

A) $100.
B) $95.
C) $90.
D) $75.