Information about Zhu Boards is presented in E6-4. Additional data regarding Zhu's sales of Xpert snowboards are provided below. Assume that Zhu uses a perpetual inventory system.

Instructions
(a) Compute ending inventory at September 30 using FIFO and moving-average cost.
(b) Compare ending inventory using a perpetual inventory system to ending inventory using a periodic inventory system (from E6-4).
(c) Which inventory cost flow method (FIFO, moving-average cost) gives the same ending inventory value under both periodic and perpetual? Which method gives different ending inventory values?

Datta From  E6-4

Zhu Boards sells a snowboard, Xpert, that is popular with snowboard enthusiasts. Information relating to Zhu’s purchases of Xpert snowboards during September is shown on the next page. During the same month, 121 Xpert snowboards were sold. Zhu’s uses a
periodic inventory system.

Transcribed Image Text:

Explanation Units Unit Price Tot Revenue Date Sept. 5 Sept. 16 Sept. 29 12 50 59 121 HK$ 23,880 101,500 123,310 HK$248,690 Sale Sale Sale HK$1,990 2,4034) 2,090 Totals