Exercise 8-19 (Part Level Submission)

Waterway Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a cost of $25 per unit. None of this inventory was sold in 2019. Relevant information is as follows.

Ending inventory units
December 31, 2019				200
December 31, 2020, by purchase date
December 2, 2020		200
July 20, 2020		50		250

During the year 2020, the following purchases and sales were made.

Purchases						Sales
March 15		400 units	at	$30		April 10		300
July 20		400 units	at	31		August 20		400
September 4		300 units	at	34		November 18		250
December 2		200 units	at	37		December 12		300

The company uses the periodic inventory method.

(a1) Calculate average-cost per unit. (Round answer to 2 decimal places, e.e. 2.76.)

(a2) Determine ending inventory under (1) specific identification, (2) FIFO, (3) LIFO, and (4) average-cost. (Round answer to 0 decimal places, e.g. 2,760.)

(b1) Calculate price index. (Round answer to 4 decimal places, e.g. 2.7600.)

(b2) Determine ending inventory using dollar-value LIFO. Assume that the December 2, 2020, purchase cost is the current cost of inventory.(Hint: The beginning inventory is the base layer priced at $25 per unit.) (Round answer to 0 decimal places, e.g. 2,760.)