Powder! sells a snowboard, Xpert, that is popular with snowboard enthusiasts.

Below is information relating to Powder!’s purchases of Xpert snowboards during SepProve the amount allocated to cost of goods sold under each method. and LIFO. tember. During the same month, 124 Xpert snowboards were sold. Powder! uses a peri(SO 5) odic inventory system.

Instructions

(a) Compute the ending inventory at September 30 using the FIFO and LIFO methods.

Below is information relating to Powder!’s purchases of Xpert snowboards during SepProve the amount allocated to cost of goods sold under each method.

(b) For both FIFO and LIFO, calculate the sum of ending inventory and cost of goods sold. What do you notice about the answers you found for each method?

Transcribed Image Text:

Date Explanation Units Unit Cost Sept. 1 Inventory 26 $ 97 Total Cost $ 2,522 Sept. 12 Purchases 45 102 4,590 Sept. 19 Purchases 28 104 2,912 Sept. 26 Purchases. 40 105 4,200 Totals 139 $14,224