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Problem 6-1A Perpetual: Alternative cost flows LO P1

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[The following information applies to the questions displayed below.] Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.

Date

Activities

Units Acquired at Cost

Units Sold at Retail

Mar.

1

Beginning inventory

90

units

@ $50.80 per unit

Mar.

5

Purchase

220

units

@ $55.80 per unit

Mar.

9

Sales

250

units

@ $85.80 per unit

Mar.

18

Purchase

80

units

@ $60.80 per unit

Mar.

25

Purchase

140

units

@ $62.80 per unit

Mar.

29

Sales

120

units

@ $95.80 per unit

Totals

530

units

370

units

Problem 6-1A Part 3

3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, the March 9 sale consisted of 60 units from beginning inventory and 190 units from the March 5 purchase; the March 29 sale consisted of 40 units from the March 18 purchase and 80 units from the March 25 purchase.

Perpetual FIFO Perpetual LIFO wcyrilcu Average Specific Id Compute the cost assigned to ending inventory using FIFO. Perpetual FIFO: Cost of Goods Sold Goods Purchased # of Cost per units Date # of units sold Cost per cost of Goods Sold Inventory Balance Cost per Inventory # of units unit Balance 90 @ $ 50.80 = $ 4,572.00 unit unit March 1 March 5 March 9 March 18 March 25 March 29 Prey 14 15 of 15 11 Next >