$!!!!!!!!!!$ Provide the Answers on the SOLUTIONS tab in the workbook $($use cell references$).$ But make sure to use documents for backup information$/$calculation for each solution. Do NOT hard enter any number that is a calculation...use formulas and references throughout $!!!!!!!!!$

$!!!!!!$ You are to create worksheets within this document that calculate the requested information $$provide for above.$$ I must see your work in order to give full credit.$!!!!!!!!$

LIFO$/$FIFO$/$Average Cost under Periodic and Perpetual Inventory Systems

Spelling Company had the following transactions in connection with their inventory account during the month of August:

Instructions:

$1.$ Calculate the total number of ending inventory units. $($This number will be used for all methods and assumptions$)$

$2.$ a$.$ Assuming that the company keeps perpetual records in units only; compute the inventory at August $31,$ using $(1)$ LIFO; $(2)$ FIFO and $(3)$ average cost. $($the periodic method$)$

b$.$ Assuming that perpetual records are kept in dollars, compute the inventory at August $31,$ using $(1)$ LIFO; $(2)$ FIFO and $(3)$ average cost. $($the perpetual method$)$

c$.$ Calculate the cost of goods sold Spelling Company should record for the month of August assuming the periodic inventory method for $(1)$ LIFO; $(2)$ FIFO and $(3)$ average cost.

d$.$ Calculate the cost of goods sold Spelling Company should record for the month of August assuming the perpetual inventory method for $(1)$ LIFO; $(2)$ FIFO and $(3)$ average cost.

$3.$ Calculate the Gross Profit for LIFO and FIFO under the periodic method.

$!!!!!!!!$This is your opportunity to flex your Excel muscle and utilize this powerful software to help prepare calculations which are cumbersome and time consuming to do manually.

I want to see good organization of data, good usage of Excel functions, and a logical flow of data for each solution area. Label your work appropriately.

If I believe you have shared or copied your data$/$worksheets$,$ I will provide a zero for the assignment. Do your own work please!!!!!!

Provide the Answers on the SOLUTIONS tab in the workbook $($use cell references$).$ But make sure this document also provides the backup information$/$calculation for each solution.

Do not hard enter any number that is a calculation...use formulas and references throughout.

$**$Present solutions rounded to two decimals.

Solutions to Application Assignment #$3$

Student Name:

Total Ending Inventory Units:

Ending Inventory $($periodic$)$:

$2$ a$)$ LIFO

FIFO

Ending Inventory $($perpetual$)$:

$2$b$)$ LIFO

FIFO

Cost of Goods Sold $($periodic$)$:

$2$c$)$ LIFO

FIFO

Average Cost

Average Cost

Cost of Goods Sold $($perpetual$)$:

$2$d$)$ LIFO

FIFO

Average Cost

Gross Profit

LIFO

FIFO