Inventory by Three Methods; Cost of Goods Sold

The units of an item available for sale during the year were as follows:

Jan. $1$ Inventory $20$ units at $$1,800$ each

June $9$ Purchase $30$ units at $$1,950$ each

July $28$ Purchase $12$ units at $$2,040$ each

Nov. $1$ Purchase $16$ units at $$2,100$ each

There are $19$ units of the item in the physical inventory at December $31.$

Determine the cost of ending inventory and the cost of goods sold by three methods, presenting your answers in the following form:

Round per unit cost to two decimal places, and use in subsequent computations. Round your final answers to the nearest dollar.

$\backslash$table$[[,$Cost$],[$Inventory Method,Cnding Inventory,$],[$a$.$ First$-$in$,$ first$-$out method,,$],[$b$.$ Last$-$in$,$ first$-$out method,,$],[$c$.$ Weighted average cost method,$39,720,],[1,956\mathrm{.}15,150,623\mathrm{.}85,,]]$

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a$.$ In the FIFO method, the first units purchased are assumed to be the first to be sold. Therefore, ending inventory costs are calculated by taking the number of items remaining in the physical inventory times the most recent purchase price. To compute the cost of goods sold, deduct the ending inventory value from the total cost of goods available for sale.

b$.$ In the LIFO method, the last units purchased are assumed to be the first to be sold. Therefore, ending inventory costs are calculated by taking the number of items remaining in the physical inventory times the earliest purchase costs. To

Inventory by Three Methods; Cost of Goods Sold

The units of an item available for sale during the year were as follows:

$\backslash$table$[[$Jan$.1,$Inventory,$50$ units at $$96$