The units of an item available for sale during the year were as follows:Jan. 1 Inventory1,095 units @ $140Feb. 17 Purchase1,385 units @ $141Jul. 21 Purchase1,680 units @ $143Nov. 23 Purchase1,125 units @ $145There are 1,200 units of the item in the physical inventory at December 31. The periodic inventory system is used. Do not round intermediate calculation and round finalanswer to nearest whole value.a. Determine the inventory cost by the first-in, first-out method.b. Determine the inventory cost by the last-in, first-out method.c. Determine the inventory cost by the weighted average cost method.

Workings: Total units: 1095+1385+1680+1125 = 5285 units.

Answered: The units of an item available for sale…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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