Question

new connecteducation.com mework Saved Uits sold at Retail Jan. 1 Beginning inventory Units Required at Cost 590 units $45.00 per unit 400 units 502.00 per unit 800 units $75.00 per unit Sept. 5 Purchase Sept. 10 Sales 500 units $45.00 per unit $75.00 per unit 600 units 1.400 units Required: 1. Compute cost of goods available for sale and the number of units available for sale. 2. Compute the number of units in ending inventory 3. Compute the cost assigned to ending inventory using (a) FIFO, b) LIFO. c) weighted average, and (d) specific identification. For specific identification, units sold consist of 600 units from beginning inventory, 300 from the February 10 purchase, 200 from the March 13 purchase. 50 from the August 21 purchase, and 250 from the September 5 purchase 4. Compute gross profit earned by the company for each of the four costing methods Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification For specific identification, units sold consist of 600 units from beginning inventory, 300 from the February 10 purchase, 200 from the March 13 purchase. 50 from the August 21 purchase, and 250 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.) (a) FIFO LIFO Weighted average d) Spondentification < Prev 5 of 11 !! Next >

Answer 1

Answer to Question 1
Cost of goods sold available for sale= Value beginning inventory + value goods purchased
	27000 + 50200
	77200
Number units available for sale =	1800 units
Answer to Question 2
Number units of inventory	400 Units
Answer to Question 3
Particulars	Ending Inventory
(a) FIFO	18,400
b) LIFO	18,000
c ) Weighted average	17,152	*
d ) Specific identification	18,200
Note
* Weighted average cost per unit =	Cost of goods available for sale/ Number of units available for sale
	77200/1800
	=42.88
Value of Ending inventory =	400* 42.88
	17152
Answer to Question 4		Under different costing method
		FIFO	LIFO	Weighted average	Specific identification
A) Sales		105000	105000	105000	105000
B) Cost of goods sold		58800	59200	60048	59000
Gross profit (A-B)		46200	45800	44952	46000
Cost of goods sold             =	Beginning Inventory Plus Additional Inventory Minus Ending Inventory