Question

Required information Use the following information for the Quick Study below. Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Also, on December 15, Monson sells 27 units for $20 each Purchases on December 7 Purchases on December 14 Purchases on December 21 17 units @ $8.00 cost 34 units @ $12.00 cost 27 units @ $14.00 cost QS 6-11 Perpetual: Inventory costing with LIFO LO P1 Required: Monson sells 27 units for $20 each on December 15 Monson uses a perpetual inventory system. Determine the costs assigned to the December 31 ending inventory when costs are assigned based on LIFO. Perpetual LIFO: Cost of Goods Sold Inventory Balance Goods purchased Cost per Cost of Goods Available for unit Sale # of units Date #of units sold Cost per Cost of Goods u nit Sold of units Cost per unit Inventory Balance December 7 = = $ $ 0.00 0.00 December 14 December 15 December 21 $ 0.00 Totals < Preven

Answer 1

ANSWER = 1
LIFO METHOD
		PURHASES			COST OF GOODS SOLD			ENDING INVENTORY
Date	Particulars	Units	Rate	Total	Units	Rate	Total	Units	Rate	Total
December , 07	Beginning inventory	17	$                8.00	$136				17	$           8.00	$136
December , 14	Purhcases	34	$             12.00	$408				17	$           8.00	$136
								34	$         12.00	$408
December , 15	Sales				27	$             12.00	$324	17	$           8.00	$136
								7	$         12.00	$84
December , 21	Purhcases	27	$             14.00	$378				17	$           8.00	$136
								7	$         12.00	$84
								27	$         14.00	$378
	TOTALS	78		$922	27		$324	51		$598