Cem's Company sells custom-order paintings made with watercolor pastels and recycled canvases. Cem's company is located in Nashville, TN. Following is partial information for the income statement of Cem's Company under three different inventory costing methods, assuming the use of a periodic inventory system: Required: 1. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. 2. Prepare an income statement through pretax income for each method Sales, 150 units; unit sales price, $50, Expenses, $1,500 3. Rank the three methods in order of preference based on income taxes paid (favorable cash flow) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. Average Cost Cost of goods sold FFO LIFO

Cem's Company sells custom-order paintings made with watercolor pastels and recycled canvases. Cem's company is located in Nashville, TN. Following is partial information for the income statement of Cem's Company under three different inventory costing methods, assuming the use of a periodic inventory system: Required: 1. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. 2. Prepare an income statement through pretax income for each method Sales, 150 units; unit sales price, $50, Expenses, $1,500 3. Rank the three methods in order of preference based on income taxes paid (favorable cash flow) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. Average Cost Cost of goods sold FFO LIFO

Name: Cem's Company sells custom-order paintings made with watercolor paste
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Description: Cem's Company sells custom-order paintings made with watercolor pastels and recycled canvases. Cem'scompany is located in Nashville, TN. Following is partial information for the income statement of Cem's Companyunder three different inventory costin

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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Confused on how to Determine the cost assigned to ending inventory and to cost of goods sold using FIFO.and how to Determine the cost assigned to ending inventory and to cost of goods sold using LIFO.
Can you please explain how to get the Cost of Goods Solds category using LIFO?
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Katelyn is the Purchasing Manager at Polo Industries, Inc. She asked you to help her determine what the Ending Balance for Inventory and the Cost of Goods Sold total would be using the three (3) valuation methods: (a) LIFO (last in first out), (b) FIFO (first in first out), and Weighted Average. The purchase information is below: Inventory Purchase Saturday, June 6, 2020 Sunday, June 14, 2020 Thursday, June 18, 2020 Tuesday, June 30, 2020 Items Cost per Item 85.10 107 24 87 158 79.50 %24 95.00 93 2. 92.40 445 Katelyn told you that 300 items were sold and 145 remained in inventory. (a) Calculate the valuations using LIFO (2 answers required). Round to the nearest 2 decimal places. HTML Editor B IUA - A I E E 3 E E X x, E E 田。 Vx A v / 回 M 12pt Paragraph
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