Better Bottles, Incorporated uses a periodic inventory system and has provided its current inventory information The...

    

Transcribed Image Text:

Better Bottles, Incorporated uses a periodic inventory system and has provided its current inventory information The Controller has asked you to prepare a comparison of the Ending Inventory and Cost of Goods Sold totals for three different inventory costing methods: Periodic FIFO, LIFO, and Weighted-Average. of Units Description Beginning Inventory January 15 Purchase January 20 Purchase Goods Available for Sale Less: January Sales Ending Inventory 222884 20 S 27 33 80 36 Cost per Unit Total Cost 20.00 $ 400.00 22.00 30.00 44 $ 594.00 990.00 1,984.00 Required: 1. Calculate both the Ending Inventory and Cost of Goods Sold using Periodic FIFO. Description January 20 Purchase January 15 Purchase Description Beginning Inventory January 15 Purchase FIFO Ending Inventory of Units 33 $ 44 Cost per Unit 30.00 FIFO Cost of Goods Sold # of Units 36 Total Cost #VALUE! Cost per Unit Total Cost 2. Calculate both the Ending Inventory and Cost of Goods Sold using Periodic LIFO. Description Beginning Inventory January 15 Purchase Description January 20 Purchase January 15 Purchase Weighted Average Cost = # of Units Ending Inventory LIFO Ending Inventory # of Units Ending Inventory 44 LIFO Cost of Goods Sold # of Units 3. Using Periodic Weighted Average, first calculate the cost per unit using the formula below. Next, apply that same cost per unit to calculate both the Ending Inventory and Cost of Goods Sold. Beginning Inventory Add: Purchases Goods Available for Sale Less: Ending Inventory Cost of Goods Sold Cost per Unit 36 Weighted Average Ending Inventory Cost per Unit 24.80 $ Cost per Unit Cost of Goods Available for Sale Number of Units Available for Sale FIFO Weighted Average Cost of Goods Sold of Units Cost per Unit Total Cost 1,091.00 Total Cost 24.80 893 Total Cost Total Cost 4. Use the given information and your calculated numbers to complete the Cost of Goods Sold Equation below for all three inventory methods. (All numbers should be positive.) LIFO per unit Weighted -Average Better Bottles, Incorporated uses a periodic inventory system and has provided its current inventory information The Controller has asked you to prepare a comparison of the Ending Inventory and Cost of Goods Sold totals for three different inventory costing methods: Periodic FIFO, LIFO, and Weighted-Average. of Units Description Beginning Inventory January 15 Purchase January 20 Purchase Goods Available for Sale Less: January Sales Ending Inventory 222884 20 S 27 33 80 36 Cost per Unit Total Cost 20.00 $ 400.00 22.00 30.00 44 $ 594.00 990.00 1,984.00 Required: 1. Calculate both the Ending Inventory and Cost of Goods Sold using Periodic FIFO. Description January 20 Purchase January 15 Purchase Description Beginning Inventory January 15 Purchase FIFO Ending Inventory of Units 33 $ 44 Cost per Unit 30.00 FIFO Cost of Goods Sold # of Units 36 Total Cost #VALUE! Cost per Unit Total Cost 2. Calculate both the Ending Inventory and Cost of Goods Sold using Periodic LIFO. Description Beginning Inventory January 15 Purchase Description January 20 Purchase January 15 Purchase Weighted Average Cost = # of Units Ending Inventory LIFO Ending Inventory # of Units Ending Inventory 44 LIFO Cost of Goods Sold # of Units 3. Using Periodic Weighted Average, first calculate the cost per unit using the formula below. Next, apply that same cost per unit to calculate both the Ending Inventory and Cost of Goods Sold. Beginning Inventory Add: Purchases Goods Available for Sale Less: Ending Inventory Cost of Goods Sold Cost per Unit 36 Weighted Average Ending Inventory Cost per Unit 24.80 $ Cost per Unit Cost of Goods Available for Sale Number of Units Available for Sale FIFO Weighted Average Cost of Goods Sold of Units Cost per Unit Total Cost 1,091.00 Total Cost 24.80 893 Total Cost Total Cost 4. Use the given information and your calculated numbers to complete the Cost of Goods Sold Equation below for all three inventory methods. (All numbers should be positive.) LIFO per unit Weighted -Average

Answer rating: 100% (QA)

Answer To complete the Cost of Goods Sold equation for all three inventory methods FIFO LIFO and Weighted Average we will fill in the missing values u... View the full answer