Problem I

The following information was available from the inventory records of Chris Company for July:

Units Unit Cost

Balance at July 1 10,000 $9.00

Purchases:

July 10 5,000 10.50

July 20 7,500 11.25

Sales:

July 8 9,000

July 25 11,000

Instructions:

(a)Compute the ending inventory and cost of goods sold at July 30 under the perpetual LIFO, FIFO and Average inventory method.

(b)Compute the ending inventory and cost of goods sold at July 30 under the periodic LIFO, FIFO and Average inventory method.