Periodic Inventory Using FIFO, LIFO, and Weighted Average Cost Methods

The units of an item available for sale during the year were as follows:

Jan. 1 Inventory 13 units at $33 $429

Aug. 13 Purchase 6 units at $34 204

Nov. 30 Purchase 10 units at $35 350

Available for sale 29 units $983

There are 14 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost using the (a) first-in, first-out (FIFO) method; (b) last-in, first-out (LIFO) method; and (c) weighted average cost method (round per-unit cost to two decimal places and your final answer to the nearest whole dollar).

a. First-in, first-out (FIFO)

b. Last-in, first-out (LIFO)

c. Weighted average cost

Cost Flow Methods The following three identical units of Item PX2T are purchased during April: Item Beta Units. Cost April 2 Purchase 1 $243 April 15 Purchase 1 246 April 20 Purchase 1 249 Total 3 $738 Average cost per unit $246 ($738 3 units) Assume that one unit is sold on April 27 for $354. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method. Gross Profit Ending Inventory a. First-in, first-out (FIFO) 111 495 b. Last-in, first-out (LIFO) 105 489 c. Weighted average cost Feedback