FIFO inventory valuation with uniform unit costs Steps: - Record receipts: 6 July 100 units @ $15.50; 10 July 100 units @$15.50; 25 July 50 units @ $15.50 (total 250 units @$15.50 each, cost $3,875). - Record issues: 10 July 80 units; 25 July 100 units (total 180 units issued). - Apply FIFO: Ending inventory of 70 units consists of latest receipts (20 units from 10 July batch + 50 units from 25 July batch, all @$15.50). - Calculate value: 70 units × $15.50 =$1,085. Why A is correct: - FIFO values ending inventory using costs of most recent purchases; with identical unit costs, it equals total cost less cost of earliest 180 units issued ($3,875 - 180 ×$15.50 = $1,085). Why the others are wrong: - B$1092: Results from misreading unit cost as $15.60 (70 ×$15.60 = $1,092). - C$1102: Results from miscounting ending units as 71 (71 × $15.50 ≈$1,100.50, rounded up). - D $1106: Results from erroneous unit cost like$15.80 (70 × $15.80 =$1,106). Final answer: …