Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Inventory records for Maya, Inc. revealed the following: Date Transaction Units Unit Cost Total Cost July 1 Beginning inventory 5,000 $8.00 $40,000 July 13 Purchase

Inventory records for Maya, Inc. revealed the following:

Date Transaction Units Unit Cost Total Cost
July 1 Beginning inventory 5,000 $8.00 $40,000
July 13 Purchase 12,000 8.50 102,000
July 27 Purchase 18,000 9.00 162,000
Totals 35,000 $304,000

The company uses a periodic inventory system to report inventory and cost of goods sold. Sales for July (all at $10.00 per unit) totaled 27,000 units leaving 8,000 units on hand at the end of July.

Using the last-in, first-out method (LIFO), what is the companys cost of goods sold?

Group of answer choices

$232,000

$72,000

$238,500

$65,500

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Accounting For Business

Authors: Colin Drury, Mike Tayles

8th Edition

1473778808, 978-1473778801

More Books

Students also viewed these Accounting questions