2. Using FIFO, calculate ending inventory and cost of goods sold at March 31. Ending inventory Cost of goods sold
2. Using FIFO, calculate ending inventory and cost of goods sold at March 31. Ending inventory Cost of goods sold
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
[The following information applies to the questions displayed below.]
Greg's Bicycle Shop has the following transactions related to its top-selling Mongoose mountain bike for the month of
March. Greg's Bicycle Shop uses a periodic inventory system.
Date
Transactions
March 1 Beginning inventory
March 5
Sale ($400 each)
March 9.
Purchase
March 17 Sale ($450 each)
March 22
March 27
March 30 Purchase
Purchase
Sale ($475 each)
Units Unit Cost
20
$250
15
10
270
280
300
Ending inventory
Cost of goods sold
8
10.
12
9
Total Cost
$5,000
2,700
2,800
2,700
$13,200
For the specific identification method, the March 5 sale consists of bikes from beginning inventory, the March 17 sale
consists of bikes from the March 9 purchase, and the March 27 sale consists of four bikes from beginning inventory and
eight bikes from the March 22 purchase.
2. Using FIFO, calculate ending inventory and cost of goods sold at March 31.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F73b38660-17bd-449b-b5cf-80c2934669ab%2Fc7387656-36e9-4bf2-b9fa-275fb16cbf97%2F6vna4k_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Greg's Bicycle Shop has the following transactions related to its top-selling Mongoose mountain bike for the month of
March. Greg's Bicycle Shop uses a periodic inventory system.
Date
Transactions
March 1 Beginning inventory
March 5
Sale ($400 each)
March 9.
Purchase
March 17 Sale ($450 each)
March 22
March 27
March 30 Purchase
Purchase
Sale ($475 each)
Units Unit Cost
20
$250
15
10
270
280
300
Ending inventory
Cost of goods sold
8
10.
12
9
Total Cost
$5,000
2,700
2,800
2,700
$13,200
For the specific identification method, the March 5 sale consists of bikes from beginning inventory, the March 17 sale
consists of bikes from the March 9 purchase, and the March 27 sale consists of four bikes from beginning inventory and
eight bikes from the March 22 purchase.
2. Using FIFO, calculate ending inventory and cost of goods sold at March 31.
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