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A business had opening inventory of 300 units valued at $4.50 per unit on 1 May. The following receipts and issues were recorded in May:
A business had opening inventory of 300 units valued at $4.50 per unit on 1 May. The following receipts and issues were recorded in May:
2 May Issue 200 units
7 May Receipt 500 units @ $4.80 per unit
13 May Issue 400 units
20 May Receipt 500 units @ $5.00 per unit
28 May Issue 450 units
- What is the value of issues during the month using the FIFO method?
A $4,750
B $5,000
C $5,030
D $5,080
- What is the value of issues during the month using the LIFO method?
A $4,750
B $5,000
C $5,030
D $5,070
- What is the value of closing inventory? FIFO method LIFO method
A $1,180 $1,250
B $1,250 $1,180
C $1,250 $730
D $1,180 $730
- What is the value of closing inventory using the AVCO method?
A $1,180
B $1,232
C $1,250
D $1,282
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