Question

Periodic Inventory by Three Methods; Cost of Merchandise Sold The units of an item available for sale during the year were as follows: Jan. 1 Inventory Mar. 10 Purchase Aug. 30 Purchase Dec. 12 Purchase There are 80 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar. 50 units@ $130 50 units@ $142 0 units $150 70 units@$152 Cost of Merchandise Inventory and Cost of Merchandise Sold Inventory MethodMerchandise Inventory Merchandise Sold First-in, first-out (FIFO) Last-in, first-out (LIFO) Weighted average cost

Answer 1

Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory Cost of Goods | Cost per unit | Available for | st per Cost of unitGoods Sold Periodic FIFO Cost per # of units # of units # of units Inventory 130.00 Beginning Invento Purchases: 50 6500 50 130.00 6500 130.00 7100 4500 10640 28740 7100 3000 142.00 150.00 152.00 142.00 150.00 152 142.00 150.00 152 1500 10640 12140 Dec-12 200 120 16600 Cost of Goods Available for Periodic LIFO Cost of Goods Sold Ending Invento Cost of Goods | Cost per unit | Available for | Cost per Cost of GoodsSold! #Of units Ending Inventory 6500 Cost per # of units # of units 130.00 130.00 Beginning Invento Purchases: 6500 130.00 142.00 150.00 152.00 50 142.00 150.00 152.00 7100 4500 10640 28740 142.00 150.00 152.00 2840 4500 10640 17980 4260 Aug-30 Dec-12 30 70 200 10760 120 Cost of Goods Available for Average Cost Cost of Goods Sold Ending Inventory Cost of Goods | Cost per unit | Available for | st per Cost of unitGoods Sold Cost per unit # of units # of units # of units Inventory Beginning Inventory Purchases: 130.00 6500 7100 4500 10640 28740 142.00 150.00 152.00 143.70 Aug-30 Dec-12 200 143.70 17244 143.70 11496 120