Charlie Clothing Ltd, a retailer of cotton-based T-shirts, carries a particular brand of T-shirts. During the...

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Charlie Clothing Ltd, a retailer of cotton-based T-shirts, carries a particular brand of T-shirts. During the year ended 30 June 2021, the following purchases occurred: September October January March 800 T-shirts @$8 400 T-shirts @$10 600 T-shirts @$11 300 T-shirts @$13 As of 1 July, Charlie Clothing Ltd had 150 T-shirts in inventory, costed $13 per unit. As of 30 June an inventory count revealed 200 T-shirts in inventory. Compare the value of T-shirts as of 30 June to be included in the inventory balance on the balance sheet under the FIFO inventory method. Required: Calculate value of inventory as of 30 June 2021 under FIFO method of inventory valuation. [10 marks] Charlie Clothing Ltd, a retailer of cotton-based T-shirts, carries a particular brand of T-shirts. During the year ended 30 June 2021, the following purchases occurred: September October January March 800 T-shirts @$8 400 T-shirts @$10 600 T-shirts @$11 300 T-shirts @$13 As of 1 July, Charlie Clothing Ltd had 150 T-shirts in inventory, costed $13 per unit. As of 30 June an inventory count revealed 200 T-shirts in inventory. Compare the value of T-shirts as of 30 June to be included in the inventory balance on the balance sheet under the FIFO inventory method. Required: Calculate value of inventory as of 30 June 2021 under FIFO method of inventory valuation. [10 marks]

Answer rating: 100% (QA)

To calculate the value of inventory as of June 30 2021 using the firstin firstout FIFO method we nee... View the full answer