The following data regarding purchases and sales of a commodity were taken from the related inventory account (perpetual inventory system is used): May 1 Balance 25 units at $41 6 Sale 20 units 8 Purchase 20 units at $42 16 Sale 10 units 20 Purchase 20 units at $43 23 Sale 25 units 30 Purchase 15 units at $45 (a) Determine the total cost of the inventory balance at May 31, using the first-in, first-out method. Also, identify the quantity, unit price, and total cost of each lot/layer in the ending inventory. (b) Determine the total cost of the inventory balance at May 31, using the last-in, first-out method. Also, identify the quantity, unit price, and total cost of each lot/layer in the ending inventory. (a) FIFO (b) LIFO
The following data regarding purchases and sales of a commodity were taken from the related inventory account (perpetual inventory system is used):
|
May 1 |
Balance |
25 units at $41 |
|
6 |
Sale |
20 units |
|
8 |
Purchase |
20 units at $42 |
|
16 |
Sale |
10 units |
|
20 |
Purchase |
20 units at $43 |
|
23 |
Sale |
25 units |
|
30 |
Purchase |
15 units at $45 |
|
(a) |
Determine the total cost of the inventory balance at May 31, using the first-in, first-out method. Also, identify the quantity, unit price, and total cost of each lot/layer in the ending inventory. |
|
(b) |
Determine the total cost of the inventory balance at May 31, using the last-in, first-out method. Also, identify the quantity, unit price, and total cost of each lot/layer in the ending inventory. |
|
(a) FIFO
|
|
(b) LIFO
|
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