Question

Exercise 8-10 a-c Inventory information for Part 311 of Nash Corp. discloses the following information for the month of June. June 1 11 20 Balance Purchased Purchased 304 units @ $11 796 units @ $13 501 units @ $14 June 10 15 27 Sold Sold Sold 201 units @ $25 499 units @ $26 296 units @ $28 Assuming that the periodic inventory method is used, compute the cost of goods sold and ending inventory under (1) LIFO and (2) FIFO. (1) LIFO (2) FIFO Cost of Goods Sold Ending Inventory LINK TO TEXT Assuming that the perpetual inventory method is used and costs are computed at the time of each withdrawal, what is the value of the ending inventory at LIFO? The ending inventory at LIFO LINK TO TEXT

Answer 1

Nash Corp FIFO Perpetual FIFO Periodic Purchases Cost of goods sold Balance Unit Cost Total Cost Date Units Unit Cost Total Cost Units Units Unit Cost Total Cost Goods Available 3344 Unit Cost Total Cost Jun-01 Units 304 11 Date Jun-01 Jun-10 201 11 2211 103 11 1133 304 11 3344 10348 1133 Jun-11 796 13 10348 103 11 Jun-11 796 13 796 13 10348 Jun-20 501 14 7014 1601 20706 Jun-15 103 11 1133 400 13 5200 5148 396 13 -605 -8366 Jun-20 501 14 7014 400 13 5200 996 COGS 12340 501 14 7014 3848 Closing Stock Jun-27 296 13 104 13 1352 7014 Date Units Unit Cost Total Cost 501 14 1352 Jun-20 Jun-30 104 13 501 14 7014 7014 501 14 Jun-11 104 13 1352 8366 605 Purchases COGS 12340 Ending 8366 17362 LIFO Periodic LIFO Perpetual Purchases Cost of goods sold Balance Goods Available Unit Cost Total Cost Unit Cost Total Cost Units Unit Cost Total Cost Units Units Unit Cost Total Cost Date Units Date 3344 Jun-01 304 11 Jun-01 304 11 3344 2211 Jun-10 201 11 103 11 1133 Jun-11 796 13 10348 1133 Jun-11 796 13 10348 103 11 Jun-20 501 14 7014 796 13 10348 1601 20706 -7257 Jun-15 499 13 6487 103 11 1133 -605 297 13 3861 996 COGS 13449 Jun-20 501 14 7014 103 11 1133 Closing Stock 3861 297 13 Unit Cost Total Cost 7014 Units 501 14 Date 4144 103 Jun-01 Jun-27 296 14 11 1133 304 11 3344 3913 297 13 3861 Jun-11 301 13 2870 205 14 605 7257 Jun-30 103 11 1133 297 13 3861 205 14 2870 Purchases 17362 12842 Ending COGS 7864 Sales FIFO Units Selling Price Total Sales Date Jun-10 201 25 5025 Jun-15 499 26 12974 Jun-27 296 28 8288 26287 FIFO COGS -12340 Gross Profit 13947