Anderson Company had the following information for the year ending December 31: Units Unit Cost Beginning inventory. 250 $45 Purchase: April 6 370 44 Sale: May 4 600 Purchase: July 19 530 43 Sale: September 9 340 Purchase: October 10 180 39 Anderson uses the perpetual inventory system and the LIFO method. Required: Using LIFO (a) Compute the cost of ending inventory. (b) Compute the cost of goods sold for the year. Cost of ending inventory Cost of goods sold

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Anderson Company had the following information for the year ending December 31:
Units
Unit Cost
Beginning inventory
250
$45
Purchase:
April 6
370
44
Sale:
May 4
600
Purchase:
July 19
530
43
Sale:
September 9
340
Purchase:
October 10
180
39
Anderson uses the perpetual inventory system and the LIFO method.
Required:
Using LIFO
(a) Compute the cost of ending inventory.
(b) Compute the cost of goods sold for the year.
Cost of ending inventory
Cost of goods sold
?
Transcribed Image Text:Anderson Company had the following information for the year ending December 31: Units Unit Cost Beginning inventory 250 $45 Purchase: April 6 370 44 Sale: May 4 600 Purchase: July 19 530 43 Sale: September 9 340 Purchase: October 10 180 39 Anderson uses the perpetual inventory system and the LIFO method. Required: Using LIFO (a) Compute the cost of ending inventory. (b) Compute the cost of goods sold for the year. Cost of ending inventory Cost of goods sold ?
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