For the current year, a company has the following beginning inventory and purchase. Number Total of...

 

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For the current year, a company has the following beginning inventory and purchase. Number Total of units cost Date Jan. 1 Jun. 15 Transaction Beginning inventory Purchase Total 200 300 500 Unit cost $20 25 $ 4,000 7,500 $11,500 Throughout the year, the company sold a total of 450 units for $40 each, which leaves 50 units in ending inventory. Required: 1. Calculate cost of goods sold and ending inventory using the FIFO method. 2. Calculate cost of goods sold and ending inventory using the LIFO method. 3. Calculate cost of goods sold and ending inventory using the average cost method. For the current year, a company has the following beginning inventory and purchase. Number Total of units cost Date Jan. 1 Jun. 15 Transaction Beginning inventory Purchase Total 200 300 500 Unit cost $20 25 $ 4,000 7,500 $11,500 Throughout the year, the company sold a total of 450 units for $40 each, which leaves 50 units in ending inventory. Required: 1. Calculate cost of goods sold and ending inventory using the FIFO method. 2. Calculate cost of goods sold and ending inventory using the LIFO method. 3. Calculate cost of goods sold and ending inventory using the average cost method.

Answer rating: 100% (QA)

1 FIFO FirstIn FirstOut Method FIFO assumes that the oldest inventory items are sold first Calculation of the cost of goods sold COGS using the FIFO m... View the full answer