Milford Company Had 500 Units of "Tank" in Its Inventory

Multiple Choice

Milford Company had 500 units of "Tank" in its inventory at a cost of $4 each.It purchased, for $2,800, 300 more units of "Tank".Milford then sold 400 units at a selling price of $10 each, resulting in a gross profit of $1,600.The cost flow assumption used by Johnson

A) is FIFO.
B) is specific identification.
C) is weighted average.
D) cannot be determined from the information given.