Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bailer Company's record of transactions for the month of November was the following: Purchases: Sales: Nov 1 (balance on hand)525 @ $7.00Nov 3550 @ $10.00

Bailer Company's record of transactions for the month of November was the following:

Purchases:Sales:

Nov 1 (balance on hand)525 @ $7.00Nov 3550 @ $10.00

51,400 @ $7.20 9 1,320 @ 10.00

8750 @ $7.35 10 625 @ 12.00

141,250 @ $7.42 22 1,100 @ 12.00

21825 @ $7.55 28850@ 13.00

29610@ $7.80 4,445

5,360

Please complete the following in an excel file:

#1 - Assume periodic inventory records are kept in units only. What is the inventory on November 30th using (a) LIFO and (b) average cost.

#2 - Assume perpetual inventory records are kept in dollars. What is the inventory on November 30th using (a) FIFO and (b) LIFO.

#3 - Calculate the COGS (Cost of Goods Sold) assuming the periodic inventory method was used and the inventory was valued at FIFO.

#4 - If the company were experiencing an inflationary period, which inventory method will show the highest net income? (FIFO, LIFO, or average cost)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Stacey WhitecottonRobert LibbyRobert Libby, Patricia LibbyRobert Libby, Fred Phillips

1st Edition

0078110777, 9780078110771

More Books

Students also viewed these Accounting questions

Question

Step 2 of 4: Find (f - g)(1). 10 ude 18 SuIMOHOL ALD JADISION

Answered: 1 week ago

Question

Relax your shoulders

Answered: 1 week ago

Question

Keep your head straight on your shoulders

Answered: 1 week ago