In addition to developing online fan communities, Cam and Anna believe that they could increase Front Row Entertainment’s revenue by selling live-performance DVDs at the concert. Front Row records the following activity between May and August 2011 for one of its artists:
Front Row sells all of its DVDs for $15 each and uses a perpetual inventory system.
1. Compute ending inventory and cost of goods sold using the FIFO, LIFO, and average cost methods.
2. Discuss the advantages and disadvantages of each method.
3. Assume that Front Row decides to use FIFO. Prepare the journal entries necessary to record the above transactions. Assume all purchases and sales were for cash.

  • CreatedSeptember 22, 2015
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