Alternative Inventory Methods

Garrett Company has the following transactions during the months of April and May:

Date	Transaction	Units	Cost/Unit
April 1	Balance	300
17	Purchase	200	$5.20
25	Sale	150
28	Purchase	100	5.80
May 5	Purchase	250	5.20
18	Sale	300
22	Sale	50

The cost of the inventory on April 1 is $5, $4, and $2 per unit, respectively, under the FIFO, average, and LIFO cost flow assumptions.

Required:

1. Compute the inventories at the end of each month and the cost of goods sold for each month for the following alternatives:

a. FIFO periodic Cost of Goods Sold Ending Inventory April $ 750 $ 2,370 May $ 1,790 $ 1,880 b. FIFO perpetual Cost of Goods Sold Ending Inventory April $ 750 2,370 May $ 1,790 $ 1,880 c. LIFO periodic Cost of Goods Sold Ending Inventory April $ 840 $ 1,380 May $ 1,820 $ 860 d. LIFO perpetual (Round your intermediate calculations to the nearest cent.) Cost of Goods Sold Ending Inventory April $ 780 $ 2,355 X May $ 1,880 $ e. Weighted average (Round unit costs to 4 decimal places and final answers to the nearest dollar.) Cost of Goods Sold Ending Inventory April $ $ May $ $ f. Moving average (Round unit costs to 2 decimal places and final answers to nearest dollar.) Cost of Goods Sold Ending Inventory April May $ 2. Reconcile the difference between the LIFO periodic and the LIFO perpetual results. If an amount is zero, enter "0". April Cost of Goods Sold Ending Inventory Difference $ 60 $ -60 May Cost of Goods Sold Ending Inventory Difference $ -60 $ 0