Suppose that Ralph Lauren Company reports the following for the month of June. Date June 1 12 23 30 Explanation Units Unit Cost Inventory 360 $5 Purchase 660 Purchase Inventory Cost of the ending inventory 860 Cost of goods sold 390 6 (a) Calculate the cost of the ending inventory and the cost of goods sold for each cost flow assumption, using a perpetual inventory system. Assume a sale of 730 units occurred on June 15 for a selling price of $8 and a sale of 760 units on June 27 for $9. (Round average cost per unit to 3 decimal places, eg. 5.254 and final answers to O decimal places, eg. 2.520) $ 7 Total Cost $1,800 3,960 6,020 FIFO LIFO $ Moving Average
Suppose that Ralph Lauren Company reports the following for the month of June. Date June 1 12 23 30 Explanation Units Unit Cost Inventory 360 $5 Purchase 660 Purchase Inventory Cost of the ending inventory 860 Cost of goods sold 390 6 (a) Calculate the cost of the ending inventory and the cost of goods sold for each cost flow assumption, using a perpetual inventory system. Assume a sale of 730 units occurred on June 15 for a selling price of $8 and a sale of 760 units on June 27 for $9. (Round average cost per unit to 3 decimal places, eg. 5.254 and final answers to O decimal places, eg. 2.520) $ 7 Total Cost $1,800 3,960 6,020 FIFO LIFO $ Moving Average
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Suppose that Ralph Lauren Company reports the following for the month of June.
Date
June 1
12
23
30
Explanation Units
Inventory
360
Purchase
660
Purchase
860
Inventory
390
Cost of the ending inventory
Unit Cost
Cost of goods sold
$5
6
7
(a) Calculate the cost of the ending inventory and the cost of goods sold for each cost flow assumption, using a perpetual inventory
system. Assume a sale of 730 units occurred on June 15 for a selling price of $8 and a sale of 760 units on June 27 for $9. (Round
average cost per unit to 3 decimal places, e.g. 5.254 and final answers to O decimal places, e.g. 2,520.)
Total Cost
$1,800
3,960
6,020
FIFO
S
LIFO
$
Moving Average
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