Question

All that does NOT update the inventory account Ur sales is the "poate the Inventory account automatically - method/system. Periodic Perpetual theme of each Use the following data to calculate questions 2-8 A company purchased merchandise to be res "Party purchased merchandise to be resold at increasing costs during the more purchases were made at the following costs... Jan 1, 2019 Beg. Inventory Jan 5, Purchase Jan 10, Purchase Jan 25, Purchase 30 units @ $5 25 units @ $6 15 untis @ $7 30 units @ $8 2. What are the number of units and the cost of the goods available for sale? units 3. Assuming the LIFO periodic cost flow assumption, what will be the company's cost of goods sold for the 80 units sold in Jan 31 2019? FIFO periodic cost flow assumption, what will be the company's cost of goods sold fo in Jan 31 2019?

Answer 1

Purchase / Return Unit Cost Total Cost Opening Balance Date Units Unit Cost Total Cost Units 01-01-19 30 $ 5 $ 150 05-01-19 10-01-191 25-01-19 Sales Closing Balance Units Unit Cost Total Cost Units Total Cost 30 $ 150 55 $ 300 70 $ 405 100 $ 645 25 $ 15 $ 30 $ 6 7 8 $ $ $ 150 105 240 Cost of goods availble for sale Units Cost 100 $645 Cost of goods sold under LIFO 80 units Date Units 25-01-19 10-01-19 05-01-19 01-01-19 Unit Cost Total Cost 30$ 8s 240 15 $ 7 $ 105 25 $ 6 $ 150 10 $ 5 $ 50 $ 545 80 Cost of goods sold S545 Cost of goods sold under FIFO 80 units Date Units 01-01-19 05-01-19 10-01-19 25-01-19 Unit Cost Total Cost 30 $ 5 $ 150 25 $ 6 $ 150 15 $ 7 $ 105 10 $ 8 $ 80 S 485 Cost of goods sold S485