The Ginther Power Tools Ltd had 100 air compressors in its 1 January inventory. It uses the

Question:

The Ginther Power Tools Ltd had 100 air compressors in its 1 January inventory. It uses the perpetual inventory system and the FIFO inventory cost flow assumption. Ginther made the following purchases of air compressors during January and February.

image text in transcribed

The costs of the 100 air compressors in the 1 January inventory were 20 units @ \(\$ 95\) and 80 units @ \$98. Sales during January and February were 80 air compressors and 100 air compressors respectively.
Required: Calculate the ending inventory and the cost of goods sold for each month.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Accounting Information For Business Decisions

ISBN: 9780170253703

2nd Edition

Authors: Billie Cunningham, Loren A. Nikolai, John Bazley, Marie Kavanagh, Geoff Slaughter, Sharelle Simmons

Question Posted: