Jennice Store sells a hand gloves that is popular with tourists. Information relating to Jennice's purchases of hand gloves during September is shown below. During the same month, 75 hand gloves were sold. Jennice uses a periodic inventory system. Date Explanation Units Unit Cost Total Cost $ 97 Sept. 1 Sept. 12 Sept. 19 Sept. 26 Inventory Purchases Purchases 26 45 20 $ 2,522 4,590 2,080 5,250 102 104 Purchases 50 105 Totals 141 $14,442 Required: a) Compute the ending inventory at September 30 and cost of goods sold using the FIFO method. b) Suppose Jennice shifted to perpetual inventory system and the 80 hand gloves were sold on September 20th. Compute the ending inventory at September 30 and cost of goods sold using LIFO method.
Jennice Store sells a hand gloves that is popular with tourists. Information relating to Jennice's purchases of hand gloves during September is shown below. During the same month, 75 hand gloves were sold. Jennice uses a periodic inventory system. Date Explanation Units Unit Cost Total Cost $ 97 Sept. 1 Sept. 12 Sept. 19 Sept. 26 Inventory Purchases Purchases 26 45 20 $ 2,522 4,590 2,080 5,250 102 104 Purchases 50 105 Totals 141 $14,442 Required: a) Compute the ending inventory at September 30 and cost of goods sold using the FIFO method. b) Suppose Jennice shifted to perpetual inventory system and the 80 hand gloves were sold on September 20th. Compute the ending inventory at September 30 and cost of goods sold using LIFO method.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please answer the last part of the question
Transcribed Image Text:Jennice Store sells a hand gloves that is popular with tourists. Information relating to Jennice's
purchases of hand gloves during September is shown below. During the same month, 75 hand gloves
were sold. Jennice uses a periodic inventory system.
Date
Explanation
Units
Unit Cost
Total Cost
Sept. 1
Sept. 12
Sept. 19
Sept. 26
$ 97
$ 2,522
4,590
2,080
5,250
26
Inventory
Purchases
Purchases
Purchases
45
102
20
104
50
105
Totals
141
$14,442
Required:
a) Compute the ending inventory at September 30 and cost of goods sold using the FIFO method.
b) Suppose Jennice shifted to perpetual inventory system and the 80 hand gloves were sold on
September 20th. Compute the ending inventory at September 30 and cost of goods sold using
LIFO method.
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