The beginning inventory was 900 units at a cost of $10 per unit. Goods available for sale
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The beginning inventory was 900 units at a cost of $10 per unit. Goods available for sale during the year were 3,900 units at a total cost of $43,200. In May, 1,800 units were purchased at a total cost of $19,800. The only other purchase transaction occurred during October. Ending inventory was 1,650 units.
Required:
a. Calculate the number of units purchased in October and the cost per unit purchased in October.
b. Calculate cost of goods sold and Ending inventory under the following cost flow assumptions (using a periodic inventory system):
1. FIFO
2. LIFO
Ending InventoryThe ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...
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Related Book For
Accounting What the Numbers Mean
ISBN: 978-1260565492
12th edition
Authors: David Marshall, Wayne McManus, Daniel Viele
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