Question
Floppy uses the period method and had the following inventory eventsduring January: Date Units Purchased Unit Cost Date Units Sold Unit Sales Price Jan. 1
Floppy uses the period method and had the following inventory eventsduring January:
Date
| Units Purchased
| Unit Cost
| Date
| Units Sold
| Unit Sales Price
|
Jan. 1 | 150 | $7.00 | Jan. 2 | 100 | $10.00 |
Jan. 5 | 225 | 7.20 | Jan. 7 | 125 | 10.00 |
Jan. 10 | 100 | 7.50 | Jan. 12 | 75 | 12.00 |
Jan. 15 | 150 | 7.80 | Jan. 17 | 200 | 12.50 |
Jan. 20 | 200 | 7.95 | Jan. 24 | 150 | 15.00 |
Jan. 25 | 150 | 8.00 | |||
Jan. 30 | 75 | 8.20 |
Note: January 1 amountwas the beginning inventory and unit value.
(Round all total dollar values to the nearest dollar. Round all unitvalues to the nearest penny.)
Acct220 Page2 of 9
Required:
a. Calculate cost of goods available forsale.
b. Calculate the dollar value of sales.
c. Calculate the value of Ending Inventory andCost of Good Sold under the following independent assumptions:
1) LIFO method
2) FIFO method
3) Average-costmethod
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