Question

Part 1 of 3 Required information M711 to 13 Calculating Cost of Goods Available for Sale, Cost of Goods Sold, and Ending Inventory under Periodic FIFO, LIFO, and Weighted Average Cost (LO 7-3] The following information applies to the questions displayed below) points In its first month of operations, Literacy for the literate opened a new bookstore and bought merchandise in the following order: (1) 340 units at $9 on January 1, (2) 630 units at $10 on January 8, and (3) 930 units at $12 on January 29, M7-11 Calculating Cost of Goods Available for Sale, Cost of Goods Sold, and Ending Inventory under Periodic FIFO (LO 7-3] References Assume 1170 units are on hand at the end of the month, calculate the cost of goods available for sale, ending inventory, and cost of goods sold under FIFO. Assume a periodic inventory system is used. (Round "Cost per Unit" to 2 decimal places.) FIFO Cost of Goods Available for Sale Ending Inventory Cost of Goods Sold

Answer 1

	Unit	Unit Cost	Total Cost
Purchase 1	340	9	3060
Purchase 2	630	10	6300
Purchase 3	930	12	11160
Total	1900		20520

Cost of goods available for sale = 20520

Ending inventory = (930*12+240*10) = 13560

Cost of goods sold = 20520-13560 = 6960