In its first month of operation, Kuhlman Company purchased 320 units of inventory for $4, then 420 units for $5, and finally 360 units for $6. At the end of the month, 380 units remained.
Compute the amount of phantom profit that would result if the company used FIFO rather than LIFO.
I have been working on this problem for hours and my answer was $700 and that was incorrect.