Shown below is activity for one of the products of Denver Office Equipment: January 1 balance, 540 units @ $50 per unit $27,000 Purchases: January 10: 540 units @ $55 per unit January 20: 1,020 units @ $56 per unit Sales: January 12: 910 units January 28: 790 units Required: Compute the January 31 ending inventory and cost of goods sold for January, assuming Denver uses LIFO and a perpetual inventory system. Ending inventory $ 10,450 Cost of goods sold $ 86,820
Shown below is activity for one of the products of Denver Office Equipment: January 1 balance, 540 units @ $50 per unit $27,000 Purchases: January 10: 540 units @ $55 per unit January 20: 1,020 units @ $56 per unit Sales: January 12: 910 units January 28: 790 units Required: Compute the January 31 ending inventory and cost of goods sold for January, assuming Denver uses LIFO and a perpetual inventory system. Ending inventory $ 10,450 Cost of goods sold $ 86,820
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Shown below is activity for one of the products of Denver Office Equipment:
January 1 balance, 540 units @ $50 per unit $27,000
Purchases:
January 10: 540 units @ $55 per unit
January 20: 1,020 units @ $56 per unit
Sales:
January 12: 910 units
January 28: 790 units
Required:
Compute the January 31 ending inventory and cost of goods sold for January, assuming Denver uses LIFO and a perpetual
inventory system.
Ending inventory
$
10,450
Cost of goods sold
$
86,820
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