Use the data for Bright Sales, Inc., in E6-12A to answer the following:

In E6-12A, Bright Sales, Inc.’s inventory records for a particular development program show the following at January 31:

Requirements
1. Compute cost of goods sold and ending inventory, using each of the following methods:
a. Specific unit cost, with three $155 units and six $165 units still on hand at the end b. Average cost
c. First-in, first-out
d. Last-in, first-out
2. Which method produces the highest cost of goods sold? Which method produces the lowest cost of goods sold? What causes the difference in cost of goodssold?

Transcribed Image Text:

...5 units@$155 775 8 units 156$1,248 13 units 165$2,145 Jan 1 Beginning inventory 15 Purchse... 26 Purchase.