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Using the FIFO assumption, calculate the amount charged

Using the FIFO assumption, calculate the amount charged 


1
Clarke Company uses the periodic inventory method and had the following inventory information available:
	 Units		Unit Cost	Total Cost
1/1	Beginning Inventory	100	$4	$   400
1/20	Purchase	400	$5	2,000
7/25	Purchase	200	$7	1,400
10/20	Purchase	   300	$8	  2,400
		1,000		$6,200

A physical count of inventory on December 31 revealed that there were 400 units on hand.

Instructions
Answer the following independent questions and show computations supporting your answers.

1.	Assume that the company uses the FIFO method. The value of the ending inventory at December 31 is $__________.

2.	Assume that the company uses the Average-Cost method. The value of the ending inventory on December 31 is $__________.

a3.	Assume that the company uses the LIFO method. The value of the ending inventory on December 31 is $__________.




2
Kegin Company sells many products. Whamo is one of its popular items. Below is an analysis of the inventory purchases and sales of Whamo for the month of March. Kegin Company uses the periodic inventory system.
	          Purchases			Sales	
	Units	Unit Cost	Units	Selling Price/Unit
3/1	Beginning inventory	100	$40
3/3	Purchase	60	$50
3/4	Sales			70	$80
3/10	Purchase	200	$55
3/16	Sales			80	$90
3/19	Sales			60	$90
3/25	Sales			50	$90
3/30	Purchase	40	$60

Instructions
(a)	Using the FIFO assumption, calculate the amount charged to cost of goods sold for March. (Show computations)
(b)	Using the weighted average method, calculate the amount assigned to the inventory on hand on March 31. (Show computations)
a(c)	Using the LIFO assumption, calculate the amount assigned to the inventory on hand on March 31. (Show computations)




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Answered
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02 Apr 2016

Answers (1)

  1. Genius

    Using the FIFO assumption, calculate the amount charged

    Using the FIFO assumption, calculate the amount charged ****** ******
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