10.

Required information

Use the following information for the Quick Study below. (Algo) (11-14)

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[The following information applies to the questions displayed below.] Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a perpetual inventory system. Also, on December 15, Monson sells 15 units for $34 each.

Purchases on December 7	10 units @ $20.00 cost
Purchases on December 14	20 units @ $26.00 cost
Purchases on December 21	15 units @ $28.00 cost

QS 5-11 (Algo) Perpetual: Assigning costs with FIFO LO P1

Required: Determine the costs assigned to the December 31 ending inventory based on the FIFO method.

Answer is complete but not entirely correct.

Perpetual FIFO:

Date

Goods Purchased

Cost of Goods Sold

Inventory Balance

# of Units

Cost Per Unit

Goods Purchased

# of Units Sold

Cost Per Unit

Cost of Goods Sold

# of Units

Cost Per Unit

Inventory Balance

December 7

10selected answer correct

at

$20.00selected answer correct

=

$200.00

10selected answer correct

at

$20.00selected answer correct

=

$200.00

December 14

20selected answer correct

at

$26.00selected answer correct

=

$520.00

20selected answer correct

at

$26.00

=

$520.00

?

$20.00

=

Total December 14

$520.00

December 15

?

$26.00

=

?

?

$26.00

=

Total December 15

December 21

15selected answer correct

at

$28.00selected answer correct

=

$420.00

15selected answer correct

at

$28.00

=

$420.00

15selected answer correct

at

$28.00

=

$420.00

Totals

$840.00