Quick Start Company just starting business made the following four inventory purchases in June:

Date ____________Total units ___________Total amount
June 1......................150..............................$780
June 10.....................200..............................1,170
June 15.....................200..............................1,260
June 28......................150..............................990
A physical count of merchandise inventory on June 30 reveals that there are 250 units on hand.
1. Using the LIFO inventory method, the value of the ending inventory on June 30 is
a. $1,365 b. $1,620
c. $2,580
d. $2,835
2. Using the FIFO inventory method, the amount allocated to cost of goods sold for June is
a. $1,620
b. $2,290
c. $2,580
d. $2,835
3. Using the average cost method, the amount allocated to the ending inventory on June 30 is
a. $4,200
b. $2,700
c. $1,150
d.$1,500
4. Which of the following inventory costing method uses actual instead of estimate cost?
a. FIFO method
b. LIFO method
c. Average cost method
d. Specific identification method

Transcribed Image Text:

Date Total units Total amount June 1... June 10.... S780 .150.... .1,170 .1,260 200.. .. June 15.... June 28... .200.... .150... .990