The inventory of XYZ Company on November 30, 2014 shows 2500 units at 12,5 per unit....

 

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The inventory of XYZ Company on November 30, 2014 shows 2500 units at 12,5 per unit. Revenue from sales for December totals 64,000 (= 3,200 units at 20 per unit). The following purchases were made during December 2014: Dec. 10: 1,100 units at 25 per unit Dec. 18 1,000 units at 6 per unit, Dec 23 900 units at 12,5 per unit Requirement: 1. Calculate the cost of goods sold and the inventory cost as of December 31, 2014, using the LIFO method. 2. Compute the gross profit for December 2014. The inventory of XYZ Company on November 30, 2014 shows 2500 units at 12,5 per unit. Revenue from sales for December totals 64,000 (= 3,200 units at 20 per unit). The following purchases were made during December 2014: Dec. 10: 1,100 units at 25 per unit Dec. 18 1,000 units at 6 per unit, Dec 23 900 units at 12,5 per unit Requirement: 1. Calculate the cost of goods sold and the inventory cost as of December 31, 2014, using the LIFO method. 2. Compute the gross profit for December 2014.

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