Chapter 6, Problem 5QS

Perpetual: Inventory costing with FIFO P1

A company reports the following beginning inventory and two purchases for the month of January. On January 26, the company sells 350 units. Ending inventory at January 31 totals 150 units.

	Units	Unit Cost
Beginning Inventory on January 1	320	$3.00
Purchase on January 9	80	3.20
Purchase on January 25	100	3.34

Required

Assume the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on the FIFO method. (Round per unit costs and inventory amounts to cents.)

QS 6-5

Perpetual: Inventory costing with LIFO P1

Refer to the information in QS 6-4 and assume the perpetual inventory system is used. Determine the costs assigned to ending inventory when costs are assigned based on LIFO. (Round per unit costs and inventory amounts to cents.)