What is your ending inventory cost under LIFO assuming thefollowing purchases if you sell three unitsPurchase No. UnitsReceived UnitCost1 1 $12 1 $23 1 $34 1 $45 1 $5
What is your ending inventory cost under LIFO assuming thefollowing purchases if you sell three unitsPurchase No. UnitsReceived UnitCost1 1 $12 1 $23 1 $34 1 $45 1 $5
Related questions
a.) Given the following information about purchases and salesduring the year, compute the cost to be assigned to endinginventory under each of three methods: (a) average-cost, (b) FIFO,and (c) LIFO. (Show your work.)
Assume that a periodic inventory system is used.
Jan. | 1 | Beginning inventory | 225 items @ $3 = | $ 675 | |
May | 1 | Purchases | 675 items @ $6 = | 4,050 | |
Totals | 900 items | $4,725 | |||
Total sales | 450 items | ||||
Dec. | 31 | Ending inventory | 450 items |
b.) Assuming a perpetual inventory system is used, use thefollowing information to calculate cost of goods sold on anaverage-cost basis.
Dec. | 1 | Beginning inventory | 50 units @ $22 | |
9 | Purchases | 50 units @ $24 | ||
17 | Sales | 25 units | ||
22 | Purchases | 75 units @ $27 | ||
27 | Sales | 40 units |
Eggers Company reports the following for the month ofJune.
Date | Explanation | Units | Unit Cost | Total Cost | ||||
| June 1 | Inventory | 228 | $9 | $ 2,052 | ||||
| 12 | Purchases | 702 | 11 | 7,722 | ||||
| 23 | Purchases | 379 | 13 | 4,927 | ||||
| 30 | Inventory | 436 |
Calculate weighted-average unit cost. (Round answersto 3 decimal places, e.g. 5.125.)
Compute the cost of the ending inventory and the cost of goodssold under FIFO, LIFO, and average-cost. (Round answersto 0 decimal places, e.g. 125.)
