Question

Beginning inventory, purchases, and sales data for tennis rackets are as follows: April 3 Inventory 22 units $17 11 Purchase 17 units $19 14 Sale 29 units 21 Purchase 13 units $17 25 Sale 15 units Complete the inventory cost card assuming the business maintains a perpetual inventory system and determine the cost of goods sold and ending Inventory using FIFO Cost of Goods Sold Purchases Inventory Qty. Unit Cost Total Cost Oly. Unit Cost Total Cost Total Cost Date April 3 Qty. 22 17 5 Unit Cost $ 17 19 13 § 17 $ 221 Previous Act Windows Next >

Answer 1

Ans.	FIFO	Purchase			Cost of goods sold			Balance
	Date	Quantity	Rate	Total cost	Quantity	Rate	Total cost	Quantity	Rate	Total cost
	3-Apr	22	$17.00	$374				22	$17.00	$374
	11-Apr	17	$19.00	$323				22	$17.00	$374
								17	$19.00	$323
	14-Apr				22	$17.00	$374
					7	$19.00	$133	10	$19.00	$190
	21-Apr	13	$17.00	$221				10	$19.00	$190
								13	$17.00	$221
	25-Apr				10	$19.00	$190
					5	$17.00	$85	8	$17.00	$136
	Total				Cost of goods sold		$782	Ending inventory		$136
	*In FIFO method the units that have purchased first, are released the first one and the ending inventory
	units remain from the last purchases.