Chapter 6 Inventory Costing Check Your Understanding Determine the cost of goods sold for each of the following problems using FIFO, LIFO and Average Cost methods. Problem 1 Costing data for Oakland Company Units Unit Cost Total Cost Explanation Beginning inventory Purchases 80 $18 Date January 1 March 15 July 30 Nov. 22 $1,440 120 20 Purchases 200 25 $2,400 $5,000 $2,600 100 26 500 $11,440 Purchases Total units available for sale Total units in ending inventory Units sold 120 380 Problem 2 Costing data for Davis Company Date Total Cost Explanation Beginning inventory Units Unit Cost 60 $30 150 32 $1,800 Purchases January 1 March 15 July 30 Nov. 22 $4,800 $6,300 Purchases 180 35 Purchases 80 36 $2,880 470 $15,780 Total units available for sale Total units in ending inventory Units sold 100 370 Chapter 8 Check Your Understanding Problems 1. In preparing its August 31, 2021 bank reconciliation, Able Corp. has available the following information: Balance per bank statement, 8/31/2021 $64,950 Deposit in transit, 8/31/2021 11,700 Return of customer's check not sufficient funds, 8/30/2021 1,800 Outstanding checks, 8/31/2021 8,250 Bank service charges for August 300 At August 31, 2021, Able's book cash balance is 70,500 Prepare a bank reconciliation: 2. In preparing its May 31, 2021 bank reconciliation, Able Corp. has available the following information: Balance per bank statement, 5/31/2021 $12,050 Deposit in transit, 5/31/2021 1,500 Return of customer's check not sufficient funds, 5/31/2021 200 Outstanding checks, 5/31/2021 5,000 Bank service charges for May 250 At May 31, 2021, Able's book cash balance is 9,000 Prepare a bank reconciliation