Question

Quayle Bookstore had the following beginning inventory, purchases, and sales during the month of January:

Date     Beginning Inventory/Purchases     Sales

Jan. 01 500 @ $9

14 380 @ $15

17                                250 @ $10

25                                250 @ $12

29 260 @ $17

Quayle uses the perpetual inventory method. According to a physical count, 360 units were on hand at January 31 (ending inventory).

The cost of the inventory at January 31 (ending inventory), under the LIFO method is:

Answer 1

Cost of the inventory at January 31 (ending inventory), under the LIFO method is: $3,480
LIFO
	Purchase/Purchase	Cost of Goods sols	Closing Inventory
Date	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost
Jan-01	500	9	4,500				500	9	4,500
Jan-14				380	9	3,420	120	9	1,080
Jan-17	250	10	2,500				120	9	1,080
							250	10	2,500
Jan-25	250	12	3,000				120	9	1,080
							250	10	2,500
							250	12	3,000
Jan-29				250	12	3,000	120	9	1,080
				10	10	100	240	10	2,400
Total	1,000		10,000	640		6,520	360		3,480