Question
Inc. uses a perpetual inventory system. The following is information about one inventory item for the month of September: Sep. 1 Inventory 20 units at
Inc. uses a perpetual inventory system. The following is information about one inventory item for the month of September:
Sep. 1 | Inventory | 20 units at $20 |
Sep. 4 | Sold | 10 units |
Sep. 10 | Purchased | 30 units at $25 |
Sep. 17 | Sold | 20 units |
Sep. 30 | Purchased | 15 units at $30 |
My answers in red*
If inc. uses the FIFO inventory method, what will be the remaining unit cost and total dollar amount of the 35 units still in Inventory on the Balance Sheet as of September 30?
Remaining unit cost:
__20___units at _$25___ and ____15___Units at $30_
Total dollar amount: $950
If inc. uses the LIFO inventory method, what will be the remaining unit cost and total dollar amount of the 35 units in Inventory on the Balance Sheet?
Remaining unit cost:
____10__Units at $20 and 10 units at $25 and 15 units at $30
Total dollar amount: $900
My answers are bold, not sure if I approached this right! please help.
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