Question
i need answer this qustion please very importan Audio World sells high-performance stereo equipment. Simmons Acoustic recently introduced the Carnegie-440, a state of the art
i need answer this qustion please very importan
Audio World sells high-performance stereo equipment. Simmons Acoustic recently introduced the Carnegie-440, a state of the art speaker system. During the current year, Audio World purchased nine of these speaker systems from Simmons Acoustic at the following dates and acquisition costs:
Date | Units Purchased | Unit Cost (RM) | Total Cost (RM) |
Oct. 1 | 2 | 3,000 | 6,000 |
Nov. 17 | 3 | 3,200 | 9,600 |
Dec. 1 | 4 | 3,250 | 13,000 |
Available for sale during the year | 9 |
| 28,600 |
On November 21, Audio World sold four of these speaker systems to the Denver Symphony. The other five Carnegie-440 remained in Audio Worlds inventory at December 31.
Require
Assume that Audio World uses a perpetual inventory system. Compute (1) the cost of goods sold relating to the sale of Cornegie-440 speakers to the Denver Symphony and (2) the ending inventory of these speakers at December 31, using each of the following flow assumptions:
a- Average Cost
b- First-in, first-out (FIFO)
c- Last-in, first-out (LIFO)
Show the number of units and the unit cost of the cost layers comprising the cost of goods sold and the ending inventory.
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