a) FIFO Deliveries into stock Transfers to production Balance Date Units

£

£

Units

£

£

Units

£

1 Mar 55 165.00 10 Mar 160 3.20 512.00 215 677.00 12 Mar 35 3.00 105.00 180 572.00 25 Mar 20 3.00 60.00 160 512.00 50 3.20 160.00 110 352.00 Tutorial note: the 110 items remaining in stock after the transfer to production on 25 March are all assumed to belong to the batch of items delivered on 10 March, and so are valued at £3.20 each (110 x £3.20 = £352.00).

b) LIFO Deliveries into stock Transfers to production Balance Date Units

£

£

Units

£

£

Units

£

1 Mar 55 165.00 10 Mar 160 3.20 512.00 215 677.00 12 Mar 35 3.20 112.00 180 565.00 25 Mar 70 3.20 224.00 110 341.00 Tutorial note: the 110 items remaining in stock are assumed to have been in stock tbe longest. Therefore closing stock comprises 55 units @ £3.00 each + 55 units (110-55) @ £3.20 each:

55 X £3 =165.00 55 X £3.20 = 176.00 341.00

c) AVCO Deliveries into stock Transfers to production Balance Date Units

£

£

Units

£

£

Units AVCO £

£

1 Mar 55 3.00 165.00 10 Mar 160 3.20 512.00 215 3.149 677.00 12 Mar 35 3.149 110.21 180 3.149 566.79 25 Mar 70 3.149 220.42 110 3.149 346.37