Question

Please help me answer these questions. I am very stumped

5 Scoresby inc tracks the number of units purchased and sold throughout each year but applies its inventory costing method at the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following information at the end of the annual accounting period, December 31 Dots inst Cost $20 4,000 Transactions 2. Iventory. teginning For the year b. Purchase, hirch 5 c. Purchase, September 19 d. Sole, April 15 (sold for $65 per unit) e. Sale, October 31 sold for $68 per unit) 7. Operating expenses (excluding income tax expense), 3610,000 23 16,0021 6.000 4,400 9,000 Required: 1. Calculate the number and cost of goods available for sale 2. Calculate the number of unitsin ending inventory 3. Compute the cost of ending inventory and cost of goods sold under a FIFO. ILIFO, and ſo weighted average cost 4. Prepare an income statement that shows the FIFO method, LIFO method and weighted average method 6. Which inventory costing method minimizes income taxes Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required * Recured 6 Calculate the number and cost of goods available for sale Number of Goods Available for Sale Cast of Good Alle for Sale Required 2 >

Answer 1

Req? No. of goodi ammailable for sale in units Beg. inventory Puchares. Mai 5 Pluchas, apt19 4.000 10.000 6.000 @20 @21 @ 23 $80.000 42,10.000 $138.000 20.000 $ 429,000 No. of goods Available toe sale Co&t of goodi Available for sale 20.000 unit $ 428.000 Reg-2 No of units en ending inventay. - 20.000 - 4,400 - 9,000 6,600 Endurig inventory- 6.600 uni! Reg 3 a) F2F0 coor - Begine - puede,' - 4000 $ 20 - $ 80.000 .000 9400 $ 21 - $ 197,400 $ 277.400 sole ending inventory - 081900de Available - Cost o goed • $ 428,000 - $ 244,400 $ 150.600

# LZEO cou - purl - 6000 $23 - $138.000 Puel - 7400* $ 21 600 - 155400 $293.400 Ending inventely $ 428,000 - $293,400 = $ 134,600 c) Weighted Average cost peex Average unet cos . $ 428,000 20:000 COQI - 13,400 $ 214 = $ 286,460 6:600 * $a 14 - $ 141,240 соса F2FO $274,400 Erding Ententeny $ 150,600 $ 134,600 141, 240 LIFO $293,400 weighted Average 4286,760 Repog Income statement FRRO L2PO Average $898.000 $898,000 Sales Revenue less cous $898,000 $286,760 $274,400 $620,600 $293,400 $ 604,600 $ 610.000 Guogs puolit $611,240 $ 610,000 less: opaling exp & 610.000 $10.600 (5400) Income ellou from ople $1240 Req-6 income tax LIFO method minimizes the