Question

please assist me with the requirements on this

Dave Company's inventory records for its retail division show the following at March 31: E: (Click the icon to view the accounting records.) At March 31, 10 of these units are on hand. Read the requirements Requirement 1. Compute cost of goods sold and ending inventory, using each of the following four inventory methods: Begin by entering the number of units sold and number of units in ending inventory. Then calculate cost of goods sold and ending inventory using (a) specific identification, then (b) average cost, then (C) FIFO, and finally (d) LIFO. (Round the average whole dollar.) Number of units Cost of goods sold Ending inventory Data Table Mar 1 Beginning inventory .... 7 units @ $ 15 Purchase ........... 5 units @ 26 Purchase .............. 11 units @ 165 = $ 1,155 166 = $ 830 175 = $ 1,925 Print Done A Requirements 1. Compute cost of goods sold and ending inventory, using each of the following methods: a. Specific identification, with five $165 units and five $175 units still on hand at the end b. Average cost c. FIFO d. LIFO 2. Which method produces the highest cost of goods sold? Which method produces the lowest cost of goods sold? What causes the difference in cost of goods sold? Print Done

Answer 1

1)

Data for valuation
Particulars			Units	Rate	Amount
Beginning Inventory		1-Mar	7	$ 165.00	$ 1,155.00
Purchases		15-Mar	5	$ 166.00	$    830.00
Purchases		26-Mar	11	$ 175.00	$ 1,925.00
Cost of Goods available for sale			23	$ 170.00	$ 3,910.00

a)	Specific Identification Method
	Sale from
	Beginning inventory			2	$ 165.00	$    330.00
	Purchase		15-Mar	5	$ 166.00	$    830.00
	Purchase		26-Mar	6	$ 175.00	$ 1,050.00
	Cost of Goods sold			13		$ 2,210.00
	Ending Inventory
	Beginning inventory			5	$ 165.00	$    825.00
	Purchase		15-Mar	5	$ 175.00	$    875.00
				10		$ 1,700.00

b)	Average Cost
	Cost of Goods sold			13	$ 170.00	$ 2,210.00
	Ending Inventory			10	$ 170.00	$ 1,700.00

c)	FIFO
	Sale from
	Beginning inventory			7	$ 165.00	$ 1,155.00
	Purchase		15-Mar	5	$ 166.00	$    830.00
	Purchase		26-Mar	1	$ 175.00	$    175.00
	Cost of Goods sold			13		$ 2,160.00

Ending Inventory
Purchase		26-Mar	10	$ 175.00	$ 1,750.00

d)	LIFO
	Sale from
	Purchase		26-Mar	11	$ 175.00	$ 1,925.00
	Purchase		15-Mar	2	$ 166.00	$    332.00
	Cost of Goods sold			13		$ 2,257.00

Ending Inventory
Purchase		15-Mar	3	$ 166.00	$    498.00
Beginning Inventory			7	$ 165.00	$ 1,155.00
			10		$ 1,653.00

2)	Highest Cost of Goods sold			LIFO
	Lowest Cost of Goods sold			FIFO
	Reason for difference			Rates