Question
Cost Flow Methods The following three identical units of Item BZ1810 are purchased during November: Item BZ1810 Units Cost Nov. 2 Purchase 1 $55 14
Cost Flow Methods
The following three identical units of Item BZ1810 are purchased during November:
| Item BZ1810 | Units | Cost | |||||
|---|---|---|---|---|---|---|---|
| Nov. | 2 | Purchase | 1 | $55 | |||
| 14 | Purchase | 1 | 57 | ||||
| 28 | Purchase | 1 | 62 | ||||
| Total | 3 | $174 | |||||
| Average cost per unit | $58 | ($174 3 units) | |||||
Assume that one unit is sold on November 30 for $90.
Determine the gross profit for November and ending inventory on November 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost methods.
| Gross Profit | Ending Inventory | |
| a. First-in, first-out (FIFO) | $ | $ |
| b. Last-in, first-out (LIFO) | $ | $ |
| c. Weighted average cost | $ | $ |
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Organizational Auditing And Assurance In The Digital Age
Authors: Rui Pedro Marques, Carlos Santos, Helena Inácio
1st Edition
1522573569, 978-1522573562
