The Shirt Shop had the following transactions for T-shirts for 2016, its first year of operations: Jan. 20 Purchased 400 units @ $8 = $3,200 Apr. 21 Purchased 200 units @ $10 = 2,000 July 25 Purchased 280 units @ $13 = 3,640 Sept. 19 Purchased 90 units @ $20 = 1,800 During the year, The Shirt Shop sold 810 T-shirts for $20 each. Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.) FIFO LIFO Weighted Average Ending Inventory
The Shirt Shop had the following transactions for T-shirts for 2016, its first year of operations: Jan. 20 Purchased 400 units @ $8 = $3,200 Apr. 21 Purchased 200 units @ $10 = 2,000 July 25 Purchased 280 units @ $13 = 3,640 Sept. 19 Purchased 90 units @ $20 = 1,800 During the year, The Shirt Shop sold 810 T-shirts for $20 each. Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.) FIFO LIFO Weighted Average Ending Inventory
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The Shirt Shop had the following transactions for T-shirts for 2016, its first year of
operations:
Jan. 20 Purchased 400 units @ $8 = $3,200
Apr. 21
July 25
Purchased 200 units @ $10 =
2,000
Purchased 280 units @ $13 =
3,640
Sept. 19
Purchased 90 units @ $20 =
1,800
During the year, The Shirt Shop sold 810 T-shirts for $20 each.
Required
a. Compute the amount of ending inventory The Shirt Shop would report on the balance
sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3)
weighted average. (Round cost per unit to 2 decimal places and final answers to the
nearest whole dollar amount.)
FIFO
LIFO
Weighted Average
Ending
Inventory
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