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Ferris Company began January with 9,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January

Ferris Company began January with 9,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows:

Purchases
Date of Purchase Units Unit Cost* Total Cost
Jan. 10 6,000 $ 9 $ 54,000
Jan. 18 9,000 10 90,000
Totals 15,000 144,000

* Includes purchase price and cost of freight.

Sales
Date of Sale Units
Jan. 5 5,000
Jan. 12 3,000
Jan. 20 6,000
Total 14,000

10,000 units were on hand at the end of the month.

1. Calculate January's ending inventory and cost of goods sold for the month using FIFO, periodic system.

FIFO Cost of Goods Available for Sale Cost of Goods Sold - Periodic FIFO Ending Inventory - Periodic FIFO
# of units Cost per unit Cost of Goods Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory
Beginning Inventory $0 $0.00 $0 $0.00 $0
Purchases:
January 10 6,000 $9.00 54,000 $9.00 0 $9.00 0
January 18 0 $0.00 0 $0.00 0
Total 6,000 $54,000 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 Ending Inventory - Periodic LIFO
# of units Cost per unit Cost of Goods Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory
Beginning Inventory $0 $0.00 $0 $0.00 $0
Purchases:
January 10 0 $0.00 0 $0.00 0
January 18 0 $0.00 0 $0.00 0
Total 0 $0 0 $0 0 $0

3. Calculate January's ending inventory and cost of goods sold for the month using FIFO, perpetual system.

Perpetual FIFO: Cost of Goods Available for Sale Cost of Goods Sold - January 5 Cost of Goods Sold - January 12 Cost of Goods Sold - January 20 Inventory Balance
# of units Unit Cost Cost of Goods Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units sold Cost per unit Cost of Goods Sold # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory
Beg. Inventory $0 $0.00 $0 $0.00 $0 $0.00 $0 $8.00 $0
Purchases:
January 10 0 0.00 0 0.00 0 0.00 0 0.00 0
January 18 0 0.00 0 0.00 0 0.00 0 0.00 0
Total 0 $0 0 $0 0 $0 0 $0 0 $0

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