Question
Inventory information for Part 311 of Splish Corp. discloses the following information for the month of June. June 1 Balance 304 units @ $11 June
Inventory information for Part 311 of Splish Corp. discloses the following information for the month of June.
June 1 Balance 304 units @ $11 | June 10 Sold 201 units @ $25 |
11 Purchased 796 units @ $13 | 15 Sold 499 units @ $26 |
20 Purchased 501 units @ $14 | 27 Sold 296 units @ $28 |
(a) Assuming that the periodic inventory method is used, compute the cost of goods sold and ending inventory under (1) LIFO and (2) FIFO.
(b) Assuming that the perpetual inventory method is used and costs are computed at the time of each withdrawal, what is the value of the ending inventory for LIFO?
(c) Assuming that the perpetual inventory method is used and costs are computed at the time of each withdrawal, what is the gross profit id the inventory is valued at FIFO?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started