Haynes Company uses the perpetual inventory system. The following information is available for the month the March. March 1 Beginning Inventory 10 units at $2 for $20, March 4 Sold 8 units, March 22 Purchased 50 units at $4 for $200, March 26 Sold 48 units. If Haynes Company uses the LIFO inventory costing method, what is the balance in Ending Inventory at March 31?   A. $40 B. $16 C. $12 D. $8

Q: Hamilton Company uses a periodic inventory system. At the end of the annual accounting period,…

A: Inventory valuation method includes: FIFO method LIFO method Weighted average cost method FIFO…

Q: The following are the transactions for the month of July. Unit Unit Units Cost Selling Price July 1…

A: The gross profit is calculated as the difference between the sales and cost of goods sold. The net…

Q: Addison, Inc. uses a perpetual inventory system. Below is information about one inventory item for…

A: INVENTORY VALUATIONInventory Valuation is a Method of Calculation of Value of Inventory at the End…

Q: Please explain how to calculate the FIFO and LIFO for the below problem and to prepare the income…

A: First-in-First-Out (FIFO): In First-in-First-Out method, the costs of the initially purchased items…

Q: [The following information applies to the questions displayed below.] The following are the…

A: Under the periodic inventory system ending inventory and cost of goods sold is calculated at the end…

Q: (a) Calculate the cost of goods sold for May and the ending inventory at May 31 using the FIFO…

A: Note: Colour coding has been used for better understanding. Answers can be given without coding as…

Q: Consider the following information for Maynor Company, which uses a periodic inventory system:…

A: Inventory accounting methods are the ways in which revenue and expenses are recorded- more…

Q: Simple Plan Enterprises uses a periodic inventory system. Its records showed the following:…

A: Inventory Turnover ratio = Cost of goods sold /  Average Inventory  Average inventory = ( Opening…

Q: ny reports the following beginning inventory and two purchases for the month of January. On January…

A: Ending Inventory is valued at cost or net realizable value. To value ending inventory at cost, there…

Q: April 5 April 10 April 15 April 20 April 22 ne unit is sold on April 25. The c entify the cost of…

A: Answer : Ending inventory = Total number of unit purchase - Unit sold Ending inventory = 5 - 1 = 4…

Q: Beginning inventory Sales, Jan. 1-Jan. 10 Purchase, Jan. 11 Sales, Jan. 12-Jan. 20 Purchase, Jan. 21…

A: The perpetual inventory system is the system used for valuing the inventory. Under this system the…

Q: Maxell Company uses the FIFO method to assign costs to inventory and cost of goods sold. The company…

A: The inventory can be valued using various methods as FIFO, LIFO and average method. Using FIFO, the…

Q: Skysong Company uses a periodic inventory system. For April, when the company sold 540 units, the…

A: Inventory Valuation under FIFO:"FIFO" stands for first-in, first-out, meaning that the oldest…

Q: [The following Information applies to the questions displayed below.] A company reports the…

A: Under the LIFO method, inventory purchased last is sold first. Under this method of inventory…

Q: Hess Company's inventory records show the following data for the month of September:…

A: According to this method, those units are sold first which have been purchased first. The ending…

Q: Hess Company's inventory records show the following data for the month of September:       Units…

A: Cost of goods sold=Cost of goods available-Ending inventory

Q: Assume that we use a perpetual inventory system and that five identical units are purchased at the…

A: INVENTORY VALUATIONInventory Valuation is a Method of Calculation of Value of Inventory at the End…

Q: Metlock Company uses a periodic inventory system. For April, when the company sold 650 units, the…

A: FIFO: FIFO stands for First-In, First-Out.  In this method inventory purchased first will be sell…

Q: A company reports the following beginning inventory and two purchases for the month of January. On…

A: Lets understand the basics. In Last In First Out (LIFO) basis company assumes that, goods come last…

Q: Assume that we use a perpetual inventory system and that five identical units are purchased at the…

A: LIFO Method :— It is one of the method of inventory valuation in which recent purchases is used for…

Q: Addison, Inc. uses a perpetual inventory system. The following is information about one inventory…

A: The last-in, first-out (LIFO) is an inventory valuation method in which it is assumed that the…

Q: Required information [The following information applies to the questions displayed below.] A company…

A: Periodic inventory system means where day to day in or out of goods is not recorded and value of…

Q: Montoure Company uses a periodic inventory system. It entered into the following calendar-year…

A: The company can use different valuation methods to account for inventory. The value of inventory and…

Q: Grouper Inc. uses a perpetual inventory system. Its records show the following for the month of May.

A: To calculate the cost of goods sold and ending inventory using the FIFO formula, we assume that the…

Q: The Luann Company uses the periodic inventory system. The following July data are for an item in…

A: Step 1: Compute the ending inventory (in units) as follows:

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.