Question

Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021:

Aug.1	Inventory on hand—2,700 units; cost $6.00 each.
8	Purchased 13,500 units for $6.20 each.
14	Sold 10,800 units for $12.70 each.
18	Purchased 8,100 units for $6.30 each.
25	Sold 9,800 units for $11.70 each.
28	Purchased 4,700 units for $5.80 each.
31	Inventory on hand—8,400 units.

Required:
Using calculations based on a periodic inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using each of the following cost flow methods.

Complete this question by entering your answers in the tabs below. FIFO LIFO Average Cost Determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using the FIFO method. (Round "Cost per Unit" to 2 decimal places.) Cost of Goods Available for Sale Cost of Goods Sold - Periodic FIFO Ending Inventory - Periodic FIFO FIFO # of units Cost per unit Cost of Goods Available for Sale | # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost Ending per unit Inventory $ 0.00 $ 0.00 S Beginning Inventory Purchases: August 8 August 18 August 28 Total S 0.00 S 0.00 $ 0.00 $ 0.00 s 0.00

Answer 1

FIFO	Cost of goods available for sale			Cost of goods sold			Ending inventory
	# of units	Cost per unit	Total	# of units	Cost per unit	Total	# of units	Cost per unit	Total
Beginning inventory	2700	6.00	16200	2700	6.00	16200	0	6.00	0
Purchases:
August 8	13500	6.20	83700	13500	6.20	83700	0	6.20	0
August 18	8100	6.30	51030	4400	6.30	27720	3700	6.30	23310
August 28	4700	5.80	27260	0	5.80	0	4700	5.80	27260
Total	29000		178190	20600		127620	8400		50570
LIFO	Cost of goods available for sale			Cost of goods sold			Ending inventory
	# of units	Cost per unit	Total	# of units	Cost per unit	Total	# of units	Cost per unit	Total
Beginning inventory	2700	6.00	16200	0	6.00	0	2700	6.00	16200
Purchases:
August 8	13500	6.20	83700	7800	6.20	48360	5700	6.20	35340
August 18	8100	6.30	51030	8100	6.30	51030	0	6.30	0
August 28	4700	5.80	27260	4700	5.80	27260	0	5.80	0
Total	29000		178190	20600		126650	8400		51540
Average cost	Cost of goods available for sale			Cost of goods sold			Ending inventory
	# of units	Cost per unit	Total	# of units	Cost per unit	Total	# of units	Cost per unit	Total
Beginning inventory	2700	6.00	16200
Purchases:
August 8	13500	6.20	83700
August 18	8100	6.30	51030
August 28	4700	5.80	27260
Total	29000	6.14	178190	20600	6.14	126484	8400	6.14	51576