Question
Laker Company reported the following January purchases and sales data for its only product. The Company uses a periodic inventory system. For specific identification, ending
Laker Company reported the following January purchases and sales data for its only product. The Company uses a periodic inventory system. For specific identification, ending inventory consists of 220 units, where 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 35 are from beginning inventory.
Date | Activities | Units Acquired at Cost | Units sold at Retail | ||||||||||||||
Jan. | 1 | Beginning inventory | 150 | units | @ | $ | 6.00 | = | $ | 900 | |||||||
Jan. | 10 | Sales | 90 | units | @ | $ | 15.00 | ||||||||||
Jan. | 20 | Purchase | 70 | units | @ | $ | 5.00 | = | 350 | ||||||||
Jan. | 25 | Sales | 90 | units | @ | $ | 15.00 | ||||||||||
Jan. | 30 | Purchase | 180 | units | @ | $ | 4.50 | = | 810 | ||||||||
Totals | 400 | units | $ | 2,060 | 180 | units | |||||||||||
1. Complete the table to determine the cost assigned to ending inventory and cost of goods sold using specific identification. 2. Determine the cost assigned to ending inventory and to cost of goods sold using weighted average. 3. Determine the cost assigned to ending inventory and to cost of goods sold using FIFO. 4. Determine the cost assigned to ending inventory and to cost of goods sold using LIFO.
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