Question: Flanagan Company reports the following for the month of June. Instructions(a) Compute the cost of the ending inventory and the cost of goods sold under

Flanagan Company reports the following for the month of June.

Instructions(a) Compute the cost of the ending inventory and the cost of goods sold under (1) FIFO and (2) LIFO.(b) Which costing method gives the higher ending inventory? Why?(c) Which method results in the higher cost of goods sold?Why?

Unit Cost Total Cost Units 200 June 1 $5 $1,000 1,800 3,500 Inventory Purchase 12 300 500 120 Purchase 23 30 Inventory

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a FIFO Beginning inventory 200 X 5 1000 Purchases June 12 300 X 6 1800 June 23 500 X 7 3500 53... View full answer

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