Question: I need help with an accounting problem. Thank you in advance!! Inventory Costing Methods - Periodic Method Fortune Stores uses the periodic inventory system for
I need help with an accounting problem. Thank you in advance!!


Inventory Costing Methods - Periodic Method Fortune Stores uses the periodic inventory system for its merchandise inventory. The April 1 inventory for one of the items in the merchandise inventory consisted of 120 units with a unit cost of $335. Transactions for this item during April were as follows: April 9 Purchased 40 units @ $355 per unit 14 Sold 80 units @ $560 per unit 23 Purchased 20 units @ $360 per unit 29 Sold 40 units Required a. Calculate the cost of goods sold and the ending inventory cost for the month of April using the weighted average cost method. Do not round until your final answers. Round your final answers to the nearest dollar. b. Calculate the cost of goods sold and the ending inventory cost for the month of April using the first-in, first-out method. C. Calculate the cost of goods sold and the ending inventory cost for the month of April using the last-in, first-out method. 0 0 a. Weighted Average Ending Inventory $ Cost of goods Sold $ b. First-in, First-out: Ending Inventory $ Cost of Goods Sold: $ Last-in, first-out: Ending Inventory $ Cost of Goods Sold: $ 0 0 0 0 Lower-of-Cost-or-Net Realizable Value Method The following data are taken from the Simpson Corporation's inventory accounts: Net Unit Realizable Quantity Cost Value $50 Item Code Product 1 ZKE ZKF Product 2 MNJ MNS 100 300 $52 63 400 200 52 63 67 Calculate the value of the company's ending inventory using the lower-of-cost-or-market method applied to each item of inventory. Applying the lower-of-cost-or-market method to each item of the inventory results in an ending inventory amount of $
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
