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For each of the preceding transactions, specify whether the item in question should be included in ending inventory, and if so, at what amount. Express
For each of the preceding transactions, specify whether the item in question should be included in ending inventory, and if so, at what amount. Express Distribution markets CDs of the performing artist Fishe. At the beginning of October, Express had in beginning inventory Fishe's CDs with a unit cost of $7. During October, made the following purchases of Fishe's CDs. During October 10, 900 units were sold. Express uses a periodic inventory system. a) Determine the cost of goods available for sale. (b) Determine (1) the ending inventory and (2) e cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average cost) Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods. (c) Which cost flow method results in (1) the highest inventory amount for the balance sheet and (2) the highest cost of goods sold for the income statement
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