Ehrhart Appliance uses a perpetual inventory system. For its flat-screen television sets, the January 1 inventory was 5 sets at $610 each. On January 10, Earhart purchased 8 units at $680 each. The company sold 3 units on January 8 and 5 units on January 15. a. Compute the ending inventory under FIFO. b. Compute the ending inventory under LIFO. c. Compute the ending inventory under moving-average cost.
Ehrhart Appliance uses a perpetual inventory system. For its flat-screen television sets, the January 1 inventory was 5 sets at $610 each. On January 10, Earhart purchased 8 units at $680 each. The company sold 3 units on January 8 and 5 units on January 15. a. Compute the ending inventory under FIFO. b. Compute the ending inventory under LIFO. c. Compute the ending inventory under moving-average cost.
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Ehrhart Appliance uses a perpetual inventory system. For its flat-screen
television sets, the January 1 inventory was 5 sets at $610 each. On
January 10, Earhart purchased 8 units at $680 each. The company sold 3
units on January 8 and 5 units on January 15.
a. Compute the ending inventory under FIFO.
b. Compute the ending inventory under LIFO.
c. Compute the ending inventory under moving-average cost.
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