Question
ABC Company sold 10000 shares of stock for $50000 on Jan 1, 2017 On Feb 1, 2017, 1000 units of inventory was purchased at $10
ABC Company sold 10000 shares of stock for $50000 on Jan 1, 2017 |
On Feb 1, 2017, 1000 units of inventory was purchased at $10 each |
On June 1, 2017, 600units of inventory was purchased at $12 each |
On Nov 1, 2017, 1000 units of inventory was purchased at $14 each |
On Dec 1, 2017, 450 units of inventory were left |
ABC Company sold the units at $45 each on average, with no accounts receivables or accounts payable on record |
The tax rate is 22% for ABC Company |
Compare the following using the FIFO and LIFO method: |
COGS |
Ending Inventory |
Net Income (after tax) |
Ending Cash |
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