A company has determined its year$-$end inventory on a LIFO basis to be $$608,000.$ Information pertaining to that inventory is as follows:

What should be the reported amount of the company's inventory?

Multiple Choice

$$628,000$

$$694,000$

$$610,000$

$$608,000$

A company using the LIFO retail method has the following information for the current year's operations:

To convert ending inventory to cost$,$ management calculates the cost$-$to$-$retail percentage as cost of $$475,000(=$$$50,000+$$$425,000)$ divided by retail

of $)=($$$80,000+$$$740,000.$ Which of the following statements is correct?

Multiple Choice

The retail amount used to calculate the cost$-$to$-$retail percentage should be $$110,000(=$$$80,000+$$$740,000-$$$710,000).$

Only net purchases during the year are used to calculate the cost$-$to$-$retail percentage to convert ending inventory to cost$.$

The calculation of the cost$-$to$-$retail percentage is correct.

Separate cost$-$to$-$retail percentages for beginning inventory and net purchases are needed to convert ending inventory to cost$.$

A company has the following information for the current year's operations:

Management calculates the cost$-$to$-$retail percentage as $57\mathrm{.}9\%,$ equal to cost of $)$ divided by retail of

$$60,000+$$$660,000+$$$50,000-$$$10,000.$ Which application of the retail inventory method is the company using?

Multiple Choice

LIFO

Average cost

Dollar$-$value LIFO

Conventional

Altira Corporation provides the following information related to its inventory during the month of August $2024$:

August $1$ Inventory on hand$-5,600$ units; cost $$7\mathrm{.}10$ each.

August $8$ Purchased $22,400$ units for $$7\mathrm{.}30$ each.

August $14$ Sold $16,800$ units for $$13\mathrm{.}80$ each.

August $18$ Purchased $16,800$ units for $$7\mathrm{.}40$ each.

August $25$ Sold $19,600$ units for $$12\mathrm{.}80$ each.

August $28$ Purchased $11,200$ units for $$7\mathrm{.}60$ each.

August $31$ Inventory on hand$-19,600$ units.

Required:

Using calculations based on a periodic inventory system, determine the inventory balance Altira would report in its August $31,2024,$

balance sheet and the cost of goods sold it would report in its August $2024$ income statement using each of the following cost flow

methods.

Complete this question by entering your answers in the tabs below.

Average Cost

Determine the inventory balance Altira would report in its August $31,2024,$ balance sheet and the cost of goods sold it would report in its August $2024$ income statemen

method.

San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of

goods sold. The following data are available for the month of October:

Required:

Complete the table below to estimate the average cost of ending inventory and cost of goods sold for October using the information

provided.

Note: Round ratio calculation to $2$ decimal places $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34\%.).$ Enter amounts to be deducted with a

minus sign.