Cost Allocation and Lower-of-Cost-or-Market

Cost Allocation and Lower-of-Cost-or-Market Douglas Company's beginning inventory and purchases during the fiscal year ended December 3 20 were as follows: Units Unit Price otal Cost January 1, 20 Beginning inventory 1,090 8,720 March 5 1st purchase 880 7,920 April 16 2nd purchase 380 9,5 3,610 3rd ne 3 690 10.2 7,038 580 0.9 August 18 4th purchase 6,322 810 11.9 September 13 5th purchase 9,639 November 14 6th purchase 390 5,460 December 3 7th purchase 480 .05 6,7 5 5,300 453 There are 1,000 units of inventory on hand on December 31. Required: For the weighted method, raund calculations to two decimal places. Round all final answers ta the nearest dollar. 1. Calculate the total amount to be assigned to the ending inventary and cost of goods sold on December 31 under each of the following methods Cost of Goods Sold Cost of Ending Inventory a. FIF0 b. LIFO Weighted-average 2. Assume that the market price per unit (cost to replace) of Douglas's inventory on December 31 was $13. Calculate the total amount to be assigned to the ending inventory on December 31 under each of the following methods a. FIFO lower-of-cost-or-market hted average lower-of-cost-or 3. Prepare required entries to apply: a. FIFO low er-of-cost or-market Weighted-average lower-of cost-or-market lf no entry is required, select No entry required and leave the amount boxes blank or enter "0