CA CPT Model Test Paper 9 with solutions for online practice

D Company, a dealer in cosmetics, records its inventory under first-in-first out method, so as to minimize accumulation of outdated stock. The opening stock as on September 01, 2011 is 150 units at the rate of Rs. 20 per unit. The purchases and sales made during the month are:

with effect from September 01,2011, the company decided to change the method of inventory valuation from the FIFO method to LIFO method. The change in the value of inventory as on September 30, 2011 consequent upon the change in the method of valuation is: