Question

The following units of an item were available for sale during the year

Jan 1. Inventory 30 units @ $130

Mar 10. Purchase 70 units @ $140

Aug. 15. Purchased 10 units @ $145

Dec 10. Purchased 70 units @$150

There are 80 units of the item remaining in the physical inventory on December 31st. The periodic inventory system was used. Determine the inventory cost and cost of merchandise sold using the three main methods

Answer 1

Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you.
FIFO
Ending Inventory
10 Units @ $145		$     1,450
70 Units @ $150		$   10,500
Ending Inventory		$   11,950
Cost of Goods Sold
30 Units @ $130		$     3,900
70 Units @ $140		$     9,800
Cost of Goods Sold		$   13,700
LIFO
Ending Inventory
30 Units @ $130		$     3,900
50 Units @ $140		$     7,000
Ending Inventory		$   10,900
Cost of Goods Sold
10 Units @ $145		$     1,450
70 Units @ $150		$   10,500
20 Units @ $140		$     2,800
Cost of Goods Sold		$   14,750
Weighted Average
Average Cost
Unit	Rate	Cost
30	$                   130	$     3,900
70	$                   140	$     9,800
10	$                   145	$     1,450
70	$                   150	$   10,500
$                                    180		$   25,650
	$             142.50
Endign Inventory	80*$142.50	$   11,400
Cost of goods sold	100*$142.50	$   14,250