Melbourne Company Uses the Perpetual Inventory System and LIFO Cost

Multiple Choice

Melbourne Company uses the perpetual inventory system and LIFO cost flow method.Melbourne purchased 500 units of inventory that cost $4.00 each.At a later date,the company purchased an additional 600 units of inventory that cost $5.00 each.If the company sells 800 units of inventory,what amount of ending inventory will appear on a balance sheet prepared immediately after the sale?

A) $3,800
B) $1.350
C) $1,500
D) $1,200