JAMB Accounts Principles of Accounts 2015 Paper

Concept:LIFO (Last In, First Out) values each issue from the latest stock received before older stock is used.Explanation:The total quantity to be issued is $700$ units.Under LIFO, begin with the most recent purchase batch.The latest batch holds $200$ units at $\mathrm{N}1.50$, so the first $200$ units issued are priced at $\mathrm{N}1.50$.The remaining quantity still needed is $700 - 200 = 500$ units.These $500$ units are taken from the earlier stock, which costs $\mathrm{N}1.00$ per unit.Therefore, the issue is analyzed as $200$ units at $\mathrm{N}1.50$ plus $500$ units at $\mathrm{N}1.00$.This satisfies the LIFO rule because newer stock is issued first, and the older stock covers the balance.Answer:$200$ units at $\mathrm{N}1.50$ and $500$ units at $\mathrm{N}1.00$ — Option C.