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Calculating the Value of Ending Inventory and Cost of Goods Sold: Perpetual Method. Consider the following inventory data for the first two months of the year for CompX International: Total Units Unit Cost Total Cost Beginning inventory on hand January 1 60,000 $2.10 $126,000 Purchases during month January 5 103,600 2.10 217,560 January 20 293,900 2.20 646,580 457,500 $990,140 Sales of inventory January 25 383,900 Beginning inventory at February 1 73,600 Purchases during month February 8 282,200 2.30 $649,060 February 23 153,500 2.70 414,450 509,300 Sales of inventory February 27 407,600 Ending Inventory 101,700

Calculating the Value of Ending Inventory and Cost of Goods Sold: Perpetual Method. Consider the following inventory data for the first two months of the year for CompX International: Total Units Unit Cost Total Cost Beginning inventory on hand January 1 60,000 $2.10 $126,000 Purchases during month January 5 103,600 2.10 217,560 January 20 293,900 2.20 646,580 457,500 $990,140 Sales of inventory January 25 383,900 Beginning inventory at February 1 73,600 Purchases during month February 8 282,200 2.30 $649,060 February 23 153,500 2.70 414,450 509,300 Sales of inventory February 27 407,600 Ending Inventory 101,700

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Calculating the Value of Ending Inventory and Cost of Goods Sold: Perpetual Method. Consider the following inventory data for the first two months of the year for CompX International: Total Units Unit Cost Total Cost Beginning inventory on hand January 1 60,000 $2.10 $126,000 Purchases during month January 5 103,600 2.10 217,560 January 20 293,900 2.20 646,580 457,500 $990,140 Sales of inventory January 25 383,900 Beginning inventory at February 1 73,600 Purchases during month February 8 282,200 2.30 $649,060 February 23 153,500 2.70 414,450 509,300 Sales of inventory February 27 407,600 Ending Inventory 101,700
Transcribed Image Text:Calculating the Value of Ending Inventory and Cost of Goods Sold: Perpetual Method. Consider the following inventory data for the first two months of the year for CompX International: Total Units Unit Cost Total Cost Beginning inventory on hand January 1 60,000 $2.10 $126,000 Purchases during month January 5 103,600 2.10 217,560 January 20 293,900 2.20 646,580 457,500 $990,140 Sales of inventory January 25 383,900 Beginning inventory at February 1 73,600 Purchases during month February 8 282,200 2.30 $649,060 February 23 153,500 2.70 414,450 509,300 Sales of inventory February 27 407,600 Ending Inventory 101,700
Required 1. Calculate the cost of goods sold and ending inventory for January and February under each of the following methods, assuming use of a perpetual inventory management system. Round all answers to the nearest whole number. January February Cost of Ending Cost of Ending Goods Sold Inventory Goods Sold Inventory a. FIFO 2$ 20 $ 20 $ 20 $ 20 b. LIFO 2$ 20 $ 20 $ 20 $ 20 c. Weighted-average.* $ 20 $ 20 $ 20 $ 20 *Do not round until your final answers. 2. Assume that the net realizable value of CompX International's ending inventory is $2.15 per unit on January 30 and $2.45 per unit on February 28. Calculate the value of the ending inventory for January and February under each of the following methods. Round all answers to the nearest whole number. January February a. FIFO 20 $ 220 b. LIFO 2$ 20 $ 20 c. Weighted-average $ 20 $ 20
Transcribed Image Text:Required 1. Calculate the cost of goods sold and ending inventory for January and February under each of the following methods, assuming use of a perpetual inventory management system. Round all answers to the nearest whole number. January February Cost of Ending Cost of Ending Goods Sold Inventory Goods Sold Inventory a. FIFO 2$ 20 $ 20 $ 20 $ 20 b. LIFO 2$ 20 $ 20 $ 20 $ 20 c. Weighted-average.* $ 20 $ 20 $ 20 $ 20 *Do not round until your final answers. 2. Assume that the net realizable value of CompX International's ending inventory is $2.15 per unit on January 30 and $2.45 per unit on February 28. Calculate the value of the ending inventory for January and February under each of the following methods. Round all answers to the nearest whole number. January February a. FIFO 20 $ 220 b. LIFO 2$ 20 $ 20 c. Weighted-average $ 20 $ 20
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