X Ltd takes a periodic inventory of the stocks of material AA at the end of each month. The physical inventory taken on 31 December shows a balance of 2000 kg of material AA in hand @ Rs. 5.50 per kg.

The following purchases were made during January:

A physical inventory on 31 January discloses that there is a stock of 15,000 kg.
You are required to compute the inventory value on 31 January, by each of the following methods alternatively:

(a) FIFO method

(b) LIFO method

(c) Average cost method

Transcribed Image Text:

2 January 9 January 28,000 kg @ Rs. 5.75 25,000 kg @ Rs. 5.80 16 January 35,000 kg @ Rs. 5.85 23 January 10,000 kg @ Rs. 5.90