Ferris Company began January with 6,000 units of its principal product. The cost of each unit is $7. Merchandise transactions for the month of January are as follows: Date of Purchase Jan. 10 Jan. 18 Totals Units 5,000 6,000 11,000 Purchases Unit Cost* $ 8 9 Total Cost $40,000 54,000 94,000 * Includes purchase price and cost of freight Sales Date of Sale Jan. 5 Jan. 12 Jan. 20 Total Units 3,000 2,000 4,000 9,000 8,000 units were on hand at the end of the month. Required: 1. Calculate January's ending inventory and cost of goods sold for the month using FIFO, periodic system. Cost of Goods Sold - Periodic FIFO Ending Inventory - Periodic FIFO FIFO Cost of Goods Available for Sale Cost of # of units Cost per Goods unit Available for Sale 6,000 $ 7.00 $ 42,000 # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory $ 7.00 $ 0 $ 7.00 $ 0 Beginning Inventory Purchases: January 10 January 18 $ 8.00 0 $ $ 8.00 0 5,000 $ 8.00 6,000 $ 9.00 17,000 40,000 54,000 136,000 9.00 0 9.00 0 Total $ 0 0 0 $ 0 2. Calculate January's ending inventory and cost of goods sold for the month using LIFO, periodic system. LIFO Cost of Goods Available for Sale Cost of Goods Sold - Periodic LIFO Cost of # of units Cost per Goods # of units Cost per Cost of unit Available for sold Goods Sold Sale 6,000 $ 7.00 $ 42,000 $ 7.00 Ending Inventory - Periodic LIFO # of units in ending Cost per Ending unit inventory Inventory $ 7.00 unit Beginning Inventory Purchases: January 10 January 18 Total 8.00 $ 8.00 5,000 $ 8.00 6,000 $ 9.00 17,000 40,000 54,000 136,000 A 9.00 $ 9.00 $ 3. Calculate January's ending inventory and cost of goods sold for the month using FIFO, perpetual system. Cost of Goods Sold - January 12 Cost of Goods Sold - January 20 Inventory Balance Perpetual FIFO: Cost of Cost per Cost of Goods Available for Sale Cost of Goods Sold - January 5 Cost of # of Unit # of Goods units Cost per Cost of units Cost Available for sold unit Goods Sold Sale 6,000 $ 7.00 $ 42,000 $ # of units Cost per sold unit # of units Cost per sold unit Cost of Goods Sold # of units in ending inventory Ending Inventory Goods Sold unit 7.00 $ 7.00 $ 7.00 $ 7.00 $ 0 Beg. Inventory Purchases: January 10 January 18 Total 5,000 8.00 8.00 8.00 0 8.00 8.00 6,000 9.00 40,000 54,000 136,000 9.00 9.00 0 9.00 0 9.00 17,000 $ 4. Calculate January's ending inventory and cost of goods sold for the month using Average cost, periodic system. Average Cost Cost of Goods Available for Sale Cost of Goods Sold - Average Cost Cost of Average Goods # of units Cost of # of units Cost per Cost sold Available for Unit Goods Sold Sale 6,000 $ 7.00 $ 42,000 Unit Ending Inventory - Average Cost # of units Average Ending in ending Cost per Inventory inventory unit Beginning Inventory Purchases: January 10 January 18 Total 5,000 $ 8.00 6,000 $ 9.00 17,000 40,000 54,000 136,000 $ 5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average cost per unit to 4 decimal places. Enter sales with a negative sign.) Perpetual Average Inventory on hand Cost of Goods Sold # of units Cost per Inventory # of units Avg.Cost Cost of unit Value sold per unit Goods Sold Beginning Inventory Sale - January 5 Subtotal Average Cost Purchase - January 10 Subtotal Average Cost Sale - January 12 Subtotal Average Cost Purchase - January 18 Subtotal Average Cost Sale - January 20 Total
