The following are data available for Richards Co. for the monthof May:
Sales 1,120 units
Beginning Inventory 200 units @ $1.25
Purchases, in chronological order 500 units @ $1.30
400 units @ $1.40
700 units @ $1.50
Calculate cost of goods sold and ending inventory under thefollowing cost flow assumptions:
(1) Weighted average
(2) FIFO
(3) LIFO
Show work
The following are data available for Richards Co. for the monthof May:
Sales 1,120 units
Beginning Inventory 200 units @ $1.25
Purchases, in chronological order 500 units @ $1.30
400 units @ $1.40
700 units @ $1.50
Calculate cost of goods sold and ending inventory under thefollowing cost flow assumptions:
(1) Weighted average
(2) FIFO
(3) LIFO
Show work
Related questions
| |||||||||||||||||
|
Yang Corporation uses the periodic inventory system. Thefollowing sales and purchases of the same product were made during20x1 at Yang Corporation. The opening inventory consisted of 50units at $2 each.
Purchases | Sales | ||||||
Date | Units | $ per unit | Date | Units | Unit $Price | Total | |
March 15 | 200 | 3 | April 25 | 250* | 5 | ||
June 15 | 600 | 5 | June 30 | 500** | 6 | ||
*for specific identification, sold 50 units of opening inventoryand 200 units of March 15 purchase
**for specific identification, sold 500 units of June 15purchase
Requirements:
1. Calculate cost of goods sold and the cost of ending inventoryunder FIFO, LIFO, specific identification, and weighted averageinventory cost flow assumptions. Use the student template #1
2. Calculate and compare the effect on profit of the fourinventory cost flow assumptions.
| ACT300 Principlesof Accounting I | |||||||||||||
| Module 4: Critical ThinkingTemplate Option #1 | |||||||||||||
| FIFO | Units | Cost per unit | Sale per Unit | Totals | |||||||||
| Beginning Inventory | - | $0.00 | $0.00 | $0 | |||||||||
| Purchases and Sales | |||||||||||||
| Mar 15-Purchase | - | $0.00 | $0.00 | $0 | Data from the problem | ||||||||
| April 25-Sale | - | $0.00 | $0.00 | 0 | The opening inventory consisted of 50 units at $2each. | ||||||||
| Jun 15-Purchase | - | $0.00 | $0.00 | 0 | |||||||||
| Jun 30-Sale | - | $0.00 | $0.00 | 0 | Purchases | Sales | |||||||
| Cost of Goods Available for Sale | - | $0.00 | $0.00 | $0 | Date | Units | $ per unit | Date | Units | Unit $Price | |||
| Cost of Goods Sold (COGS) | - | $0.00 | $0.00 | 0 | 15-Mar | 200 | 3 | 25-Apr | 250* | 5 | |||
| Ending Inventory | - | $0.00 | $0.00 | $0 | 15-Jun | 600 | 5 | 30-Jun | 500** | 6 | |||
| COGS Calculation | Units | COGS | SalesTotals | Gross Profit | |||||||||
| Beginning Inventory | - | $0.00 | $0.00 | $0 | |||||||||
| Purchases - Mar 15 | - | $0.00 | $0.00 | $0 | |||||||||
| Sale - April 25 | - | $0.00 | $0.00 | $0 | |||||||||
| Purchases - June 15 | $0.00 | $0.00 | $0 | ||||||||||
| Sale - June 30 | $0.00 | $0.00 | $0 | ||||||||||
| . | . | ||||||||||||
| Totals | - | $0.00 | $0.00 | $0 | |||||||||
