Imagine that you’re the manager of an auto parts store. Figure A-2 contains your records

of annual inventory figures for windshield wipers. Using the FIFO method of inventory pricing,
what is the dollar value of ending inventory if there were 300 units on hand on
December 31? Round your answer to the nearest dollar.

We do not have the figure to help you.

To calculate the dollar value of ending inventory using the FIFO (First-In, First-Out) method, we need to consider the cost of the units purchased first before others.

To determine the cost of ending inventory, first, we need to identify the cost per unit for the various purchases made during the year. Then, we calculate the total cost of the units available at the end and multiply it by the number of units on hand.

Considering the given annual inventory figures (Figure A-2), we can see that it is not provided in the question. Thus, it is not possible to provide a specific answer without the provided figures.

However, suppose we have the following example data for the purchases throughout the year:

- January 1: 100 units purchased at $5 per unit.
- April 1: 200 units purchased at $6 per unit.
- August 1: 150 units purchased at $7 per unit.
- October 1: 100 units purchased at $8 per unit.

Now, if there were 300 units on hand on December 31, we need to determine which units were purchased first and use their cost for valuation.

Using the FIFO method, we assume that units purchased first are sold first. Therefore, in this example, the units purchased on January 1 (100 units), April 1 (200 units), and August 1 (150 units) would have been sold before December 31, leaving only the 100 units purchased on October 1 in the ending inventory.

To calculate the dollar value of ending inventory, we multiply the number of units on hand (300) by the cost per unit from the last purchase, which is $8 in this example.

Dollar value of ending inventory = 300 units * $8 per unit = $2400 (rounded to the nearest dollar).

Remember, without the provided inventory figures from Figure A-2, this answer is based on a hypothetical example.