The following three identical units of item P401C are purchased Item Beta Units Cost Purchase 1 $307 Purchase 1 309 Purchase 1 311 3 $927 $309 ring April: Date Apr. 2 Apr. 15 Apr. 20 Total Average cost per unit ($927 + 3 units) Assume that one unit is sold on April 27 for $377. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method Line Item Description Gross Profit Ending Inventory a. First-in, first-out (FIFO) b. Last-in, first-out (LIFO) Weighted average cost
The following three identical units of item P401C are purchased Item Beta Units Cost Purchase 1 $307 Purchase 1 309 Purchase 1 311 3 $927 $309 ring April: Date Apr. 2 Apr. 15 Apr. 20 Total Average cost per unit ($927 + 3 units) Assume that one unit is sold on April 27 for $377. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method Line Item Description Gross Profit Ending Inventory a. First-in, first-out (FIFO) b. Last-in, first-out (LIFO) Weighted average cost
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:The following three identical units of Item P401C are purchased during April:
Item Beta Units Cost
Purchase 1 $307
Purchase 1 309
Purchase 1 311
$927
3
$309
Date
Apr. 2
Apr. 15
Apr. 20
Total
Average cost per unit ($927 ÷ 3 units)
Assume that one unit is sold on April 27 for $377.
Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method.
Line Item Description Gross Profit Ending Inventory
a. First-in, first-out (FIFO)
b. Last-in, first-out (LIFO)
c. Weighted average cost
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