The units of an item available for sale during the year were as follows: Jan, 1 Inventory 50 units $108 Mar. 10 Purchase 50 units O $118 Aug. 30 Purchase 30 units $124 Dec. 12 Purchase 70 units 0 $126 There are 80 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar. Cost of Merchandise Inventory and Cost of Merchandise Sold Inventory Method Merchandise Inventory Merchandise Sold a. First-in, first-out (FIFO) 10.060 13.700 b. Last-in, first-out (LIFO) c. Weighted average cost X
The units of an item available for sale during the year were as follows: Jan, 1 Inventory 50 units $108 Mar. 10 Purchase 50 units O $118 Aug. 30 Purchase 30 units $124 Dec. 12 Purchase 70 units 0 $126 There are 80 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar. Cost of Merchandise Inventory and Cost of Merchandise Sold Inventory Method Merchandise Inventory Merchandise Sold a. First-in, first-out (FIFO) 10.060 13.700 b. Last-in, first-out (LIFO) c. Weighted average cost X
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:The units of an item available for sale during the year were as follows:
Inventory
50 units $108
Purchase
50 units @ $118
Purchase:
30 units $124
Purchase
70 units © $126
There are 60 units of the item in the physical inventory at December 31. The periodic inventory system is used.
Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar.
Jan. 1
Mar. 10
Aug. 30
Dec. 12
Cost of Merchandise
Inventory Method
a. First-in, first-out (FIFO)
b. Last-in, first-out (LIFO)
c. Weighted average cost
Inventory and Cost of Merchandise Sold
Merchandise Inventory Merchandise Sold
10.060 ✓
11.700
X
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