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This problem involves inventory valuation using the **FIFO (First-In, First-Out)** method. In FIFO, the first units purchased are the first ones issued (sold), and the ending inventory consists of the most recently purchased items.

Let's work through the inventory transactions step by step to calculate the value of the inventory on hand on March 31.

### Step 1: Record Purchases and Issues
- **March 1, 2022:** Purchased 600 units at Rs 5 per unit.
- **March 5, 2022:** Purchased 200 units at Rs 5.10 per unit.
- **March 9, 2022:** Issued 500 units.
- **March 11, 2022:** Purchased 100 units at Rs 4.5 per unit.
- **March 16, 2022:** Purchased 300 units at Rs 5.5 per unit.
- **March 20, 2022:** Issued 250 units.
- **March 29, 2022:** Issued 300 units.

### Step 2: Apply FIFO Method to Calculate Ending Inventory
1. **March 9 (Issuing 500 units)**:
   - From the March 1 purchase: 500 units are taken out of the 600 units purchased at Rs 5 per unit.
   - Remaining inventory:
     - 100 units from the March 1 purchase at Rs 5 per unit.
     - 200 units from the March 5 purchase at Rs 5.10 per unit.

2. **March 11 (Purchased 100 units at Rs 4.5 per unit)**:
   - After this purchase, the updated inventory is:
     - 100 units from March 1 at Rs 5 per unit.
     - 200 units from March 5 at Rs 5.10 per unit.
     - 100 units from March 11 at Rs 4.5 per unit.

3. **March 16 (Purchased 300 units at Rs 5.5 per unit)**:
   - After this purchase, the updated inventory is:
     - 100 units from March 1 at Rs 5 per unit.
     - 200 units from March 5 at Rs 5.10 per unit.
     - 100 units from March 11 at Rs 4.5 per unit.
     - 300 units from March 16 at Rs 5.5 per unit.

4. **March 20 (Issuing 250 units)**:
   - Using FIFO:
     - 100 units from March 1 purchase at Rs 5 per unit.
     - 150 units from the March 5 purchase at Rs 5.10 per unit.
   - Remaining inventory:
     - 50 units from March 5 at Rs 5.10 per unit.
     - 100 units from March 11 at Rs 4.5 per unit.
     - 300 units from March 16 at Rs 5.5 per unit.

5. **March 29 (Issuing 300 units)**:
   - Using FIFO:
     - 50 units from March 5 at Rs 5.10 per unit.
     - 100 units from March 11 at Rs 4.5 per unit.
     - 150 units from March 16 at Rs 5.5 per unit.
   - Remaining inventory:
     - 150 units from March 16 at Rs 5.5 per unit.

### Step 3: Calculate the Value of Inventory on Hand
The remaining inventory consists of:
- 150 units from the March 16 purchase at Rs 5.5 per unit.

So, the value of the inventory on hand on March 31 is:
\[ \text{Inventory Value} = 150 \times 5.5 = Rs 825. \]

### Conclusion:
The value of the inventory on hand on **March 31, 2022** is **Rs 825**.

Would you like further details or explanations?

Here are 5 related questions you could explore:
1. How does the FIFO method compare with LIFO for inventory valuation?
2. How would the value change if the company used the weighted average method instead of FIFO?
3. What are the tax implications of using FIFO versus other methods?
4. How does the change in purchase prices impact the inventory valuation under FIFO?
5. What would the inventory value be if there were no sales in March?

**Tip:** FIFO is ideal for businesses where older inventory is used or sold first, such as in food or pharmaceuticals, as it mirrors the natural flow of goods.

Use the FIFO method to calculate the value of inventory on hand on March 31.

Calculate the value of inventory using the FIFO method for a series of purchases and sales. This problem involves step-by-step calculations to determine the inventory value on hand as of March 31, 2022.

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