What is my remaining inventory on the balance sheet if I sell 2,000 units at $3 each
Question:
What is my remaining inventory on the balance sheet if I sell 2,000 units at $3 each under LIFO?
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
I sold 2,000 units at $3 each and am using FIFO to value my inventory. Using the chart below, please tell me what my COGS is.
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
Using the same example as the last question, what is the remaining value of the inventory on the balance sheet after selling the 2,000 units at $3 each under FIFO?
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
Using the same FIFO example of selling 2,000 units at $3 each, what is my revenue?
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
What is my income if I sell 2,000 units at $3 each?
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
Under LIFO, if I sell 2,000 units at $3.00 each, what is my cost of goods sold?
year of purchase | Units | Cost/Unit | Total cost |
Year 1 | 500 | $1.00 | $500 |
year 2 | 2000 | $1.25 | $2,500 |
year 3 | 1000 | $1.50 | $1,500 |
Accounting Principles
ISBN: 978-1119048473
7th Canadian Edition Volume 2
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak