Question
Effie Company uses periodic inventory system. Details for the inventory account for the month of January, 2019, are as follows: UnitsPer Unit PriceTotalBalance 1/1/2019200$5.00$1,0001/15/2019100$5.30$5301/28/2019100$5.50$550 At
Effie Company uses periodic inventory system. Details for the inventory account for the month of January, 2019, are as follows:
UnitsPer Unit PriceTotalBalance 1/1/2019200$5.00$1,0001/15/2019100$5.30$5301/28/2019100$5.50$550
At the end of the month (1/31/2019) inventory showed that 140 units were on hand.
Required:
a)How many units did the company sell during January, 2019?You must show your calculations to receive credit for your answer.
b) If the company uses FIFO, what is the value of ending inventory?You must show your calculations to receive credit for your answer.
c) If the company uses LIFO, what is the value of ending inventory?You must show your calculations to receive credit for your answer.
d) If the uses average cost, what is the value of ending inventory?You must show your calculations to receive credit for your answer.
e) If the company uses FIFO and sells the units for $10 each, what is the gross profit for the month?You must show your calculations to receive credit for your answer.
I am having a hard time trying to figure these answers. Please help me better understand how to get the answer?
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