Sprint Shoes Inc. had a beginning inventory of 9,250 units on January 1, 20X1. Costs associated with

Question:

Sprint Shoes Inc. had a beginning inventory of 9,250 units on January 1, 20X1. Costs associated with the inventory:

Material..................$15.00 per unit

Labor........................8.00 per unit

Overhead....................7.10 per unit

During 20X1, the firm produced 43,000 units with the following costs:

Material..................$17.50 per unit

Labor........................8.80 per unit

Overhead..................10.30 per unit

Sales for the year were 47,350 units at $44.60 each. Sprint Shoes uses LIFO accounting. What was the gross profit? What was the value of ending inventory?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...