Required information [The following information applies to the questions displayed below.] A company reports the following beginning inventory and two purchases for the month of January. On January 26, the company sells 270 units. Ending inventory at January 31 totals 130 units. Beginning inventory on January 1 Purchase on January 9 Purchase on January 25 Units 240 60 100 Unit Cost $ 2.20 2.40 2.54 ired: me the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on FIFO method.
Required information [The following information applies to the questions displayed below.] A company reports the following beginning inventory and two purchases for the month of January. On January 26, the company sells 270 units. Ending inventory at January 31 totals 130 units. Beginning inventory on January 1 Purchase on January 9 Purchase on January 25 Units 240 60 100 Unit Cost $ 2.20 2.40 2.54 ired: me the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on FIFO method.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
[The following information applies to the questions displayed below.]
A company reports the following beginning inventory and two purchases for the month of January. On January 26, the
company sells 270 units. Ending inventory at January 31 totals 130 units.
Beginning inventory on January 11
Purchase on January 9
Purchase on January 25
Date
January 1
Required:
Assume the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on
the FIFO method.
January 9.
Total January 9
January 25
Total January 25
January 26
Total January 26
Goods purchased
Cost per
unit
# of units
Units
240
# of
units
sold
60
100
Unit Cost
$ 2.20
2.40
2.54
Perpetual FIFO:
Cost of Goods Sold
Cost per Cost of Goods
unit
Sold
Inventory Balance
Cost per
unit
# of units
Inventory
Balance](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb287aae8-57cc-4022-b30c-f1ff57b4d148%2Fc955c134-6a76-48cf-a305-f046fdbb0b8a%2Fa0gd55h_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
A company reports the following beginning inventory and two purchases for the month of January. On January 26, the
company sells 270 units. Ending inventory at January 31 totals 130 units.
Beginning inventory on January 11
Purchase on January 9
Purchase on January 25
Date
January 1
Required:
Assume the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on
the FIFO method.
January 9.
Total January 9
January 25
Total January 25
January 26
Total January 26
Goods purchased
Cost per
unit
# of units
Units
240
# of
units
sold
60
100
Unit Cost
$ 2.20
2.40
2.54
Perpetual FIFO:
Cost of Goods Sold
Cost per Cost of Goods
unit
Sold
Inventory Balance
Cost per
unit
# of units
Inventory
Balance
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