In a factory, stores are issued and accounted for on FIFO method. If the stock of...

 

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In a factory, stores are issued and accounted for on FIFO method. If the stock of a particular material on 1st Jan. 2019is 1,000 units valued at $5 per unit and the particulars of purchases and issues during the year 2019 are as follows, prepare a statement showing how the value of issues should be arrived at: Purchases 200 unit at $ 5.5 Purchases 500 unit at $ 5.8 Purchases 600 unit at $ 6.1 Issued 1350 (and sold units $6.2) 400 unit at $6.3 Purchases Purchases 300 unit at $ 6.4 Issued 800 (and sold units $6.3) Required: Make the assessment, preparing the income statement, using the methods measured (LIFO, FIFO, and Average Cost Method) In a factory, stores are issued and accounted for on FIFO method. If the stock of a particular material on 1st Jan. 2019is 1,000 units valued at $5 per unit and the particulars of purchases and issues during the year 2019 are as follows, prepare a statement showing how the value of issues should be arrived at: Purchases 200 unit at $ 5.5 Purchases 500 unit at $ 5.8 Purchases 600 unit at $ 6.1 Issued 1350 (and sold units $6.2) 400 unit at $6.3 Purchases Purchases 300 unit at $ 6.4 Issued 800 (and sold units $6.3) Required: Make the assessment, preparing the income statement, using the methods measured (LIFO, FIFO, and Average Cost Method)

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