"On March 30, 13,600 units were sold" and On July 30, 4,300 units were sold." If you look at the Adjusting Journal Entries Picture I highlight blue next to the numbers I don't understand how they came about and the price unit as well. Specially Jul-30 the 400 and 3,900 and their price units. Can You please explain and help me understand this step by step because I am having really hard time understanding this info.
"On March 30, 13,600 units were sold" and On July 30, 4,300 units were sold." If you look at the Adjusting Journal Entries Picture I highlight blue next to the numbers I don't understand how they came about and the price unit as well. Specially Jul-30 the 400 and 3,900 and their price units. Can You please explain and help me understand this step by step because I am having really hard time understanding this info.
"On March 30, 13,600 units were sold" and On July 30, 4,300 units were sold." If you look at the Adjusting Journal Entries Picture I highlight blue next to the numbers I don't understand how they came about and the price unit as well. Specially Jul-30 the 400 and 3,900 and their price units. Can You please explain and help me understand this step by step because I am having really hard time understanding this info.
Intermediate 1 FSR Project Part #1: Inventory Basics Picture has all the info needed to create a journal adjusting entries. The Adjusting Journal Entries Picture shows the answers which the professer provided regarding Intermediate 1 FSR Project Part #1: Inventory Basics info.
So, here is what I need help with, I don't understand how he came up with answers regarding "On March 30, 13,600 units were sold" and On July 30, 4,300 units were sold." If you look at the Adjusting Journal Entries Picture I highlight blue next to the numbers I don't understand how they came about and the price unit as well. Specially Jul-30 the 400 and 3,900 and their price units. Can You please explain and help me understand this step by step because I am having really hard time understanding this info.
Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.
Expert Solution
Step 1
LIFO means last in first out.
Under LIFO method, any purchases which are purchased last are sold out first.
Under LIFO perpetual method of inventory valuation, the valuation of cost of goods sold is calculated on the basis of no. sales units which are sold are from the immediate preceding purchases. In other words, purchases which are purchased last are sold out first.
This purchased last means immediately before the sale.