Question

E6A-26 Comparing ending merchandise inventory, cost of goods sold, and gross profit using the periodic inventory system-FIFO, Lino weighted average methods Assume that Jump Coffee Shop completed the following periodic inventory transac for a line of merchandise inventory: Jun. 1 Beginning merchandise inventory 17 units @ $ 15 each 12 Purchase 5 units @ $ 19 each 20 Sale 14 units @ $ 37 each 24 Purchase 11 units @ $ 23 each 513 29 Sale 13 units @ $ 37 each Requirements 6 mont X i5-90 1. Compute ending merchandise inventory, cost of goods sold, and gross profit using the FIFO inventory costing method. 2. Compute ending merchandise inventory, cost of goods sold, and gross profit using the LIFO inventory costing method. on hadal ! 3. Compute ending merchandise inventory, cost of goods sold, and gross profit using the weighted-average inventory costing method. (Round weighted average cost per unit to the nearest cent and all other amounts to the nearest dollar.)

Answer 1

FIFO
particular	unit	unit cost	total
beginning inventory	17	15	255
purchase:
Jun-12	5	19	95
Jun-24	11	23	253
goods available for sale	33		603
cost of goods sold (FIFO):
beginning inventory	17	15	255
Jun-12	5	19	95
Jun-24	5	23	115
cost of goods sold (FIFO)	27		465
ending inventory	6		138

LIFO
particular	unit	unit cost	total
beginning inventory	17	15	255
purchase:
Jun-12	5	19	95
Jun-24	11	23	253
goods available for sale	33		603
cost of goods sold (FIFO):
Jun-24	11	23	253
Jun-12	5	19	95
beginning inventory	11	15	165
cost of goods sold (FIFO)	27		513
ending inventory	6		90

weighted average cost method
particular	unit	unit cost	total
beginning inventory	17	15	255
purchase:
Jun-12	5	19	95
Jun-24	11	23	253
goods available for sale	33		603
cost of goods sold	27	18.27	493
ending inventory	6		110

	FIFO	LIFO	Weighted average method
sale	999	999	999
cost of goods sold	465	513	493
gross profit	534	486	506