Oahu Kiki tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method perpetually at the time of each sale, as if it uses perpetual inventory system. Assume Oahu Kiki's records show the following for the month of January. The company sold 240 units between January 16 and 23. Beginning Inventory Purchase Purchase Required: Date January 1 January 15 Units 120 380 Unit Cost $ 80 Total Cost $ 9,600 90 34,200 January 24 200 110 22,000 Calculate the cost of ending inventory and the cost of goods sold using the FIFO and LIFO methods.
Oahu Kiki tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method perpetually at the time of each sale, as if it uses perpetual inventory system. Assume Oahu Kiki's records show the following for the month of January. The company sold 240 units between January 16 and 23. Beginning Inventory Purchase Purchase Required: Date January 1 January 15 Units 120 380 Unit Cost $ 80 Total Cost $ 9,600 90 34,200 January 24 200 110 22,000 Calculate the cost of ending inventory and the cost of goods sold using the FIFO and LIFO methods.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Topic Video
Question
Haresh
Transcribed Image Text:Oahu Kiki tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method
perpetually at the time of each sale, as if it uses perpetual inventory system. Assume Oahu Kiki's records show the following for the
month of January. The company sold 240 units between January 16 and 23.
Beginning Inventory.
Purchase
Purchase
Required:
Date
January 1
January 15
Units
120
Unit Cost
$ 80
Total Cost
$ 9,600
380
90
January 24
200
110
34,200
22,000
Calculate the cost of ending inventory and the cost of goods sold using the FIFO and LIFO methods.
FIFO
LIFO
Cost of Ending Inventory
$
45,400
Cost of Goods Sold
$
20,400
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education