Question

Blossom Company is a multiproduct firm. Presented below is information concerning one of its products, the Hawkeye Quantity Price Cost 3.300 Date Transaction 1/1 Beginning inventory 2/4 Purchase 2/20 Sale 4/2 Purchase 114 Sale 4800 5.300 51 ✓ Your answer is correct Calculate average-cost per unit Round answer to decimal places 2.7613) Average cost per unit $ 20:3178 e Textbook and Media Compute cost of goods sold, assuming Blossom uses: Round average cost per unit to decimal places, es 2.7631 and final answers to decimal places, es 6.548.) Cost of goods sold (a) Periodic system FIFO cost flow (b) Perpetual system FIFO cost flow Id Periodic system, LIFO cost flow id) Perpetual system LIFO cost flow el Periodic system, weighted average cost flows if Perpetual system, moving average cost flows

Answer 1

Solution:

b.)

a.)

Beginning inventory	3,300
Purchase (43,00 + 5,300)	9,600
Units available for sale	12,900
Sales (4,800+4,500)	(9,300)
Goods on hand	3,600

Periodic FIFO

3,300 ×$18	$59,400
4,300 × $28	$120,400
1,700 ×$35	$59,500
9,300	$239,300

b.) Perpetual FIFO

Same as periodic: $239,300

c.) Periodic LIFO

5,300 × $35	$185,500
4,000 × $28	$112,000
9,300	$297,500

d.) Perpetual LIFO

Date	Purchased	Sold	Balance
1/1			3300 × $18 =$59,400
2/4	4300 × $28 =$120,400		$179,800
2/20		4300 ×$28+500 ×$18 =$129,400
			2,800 ×$18 =$ 50,400
4/2	5,300 × $35 =$185,500		$235,900
11/4		4,500 ×$35 =$157,500	$78,400
			$78 400

e.) Period weighted average

3,300 × $18	$59,400
4,300 × $28	$120,400
5300 × $35	$185,500

Total=12900 units

=$365,300 cost

Weighted average cost per unit=$365,300 /12,900

=$28.3178 per unit

9,300 ×$28.3178 =$263,355.5400