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Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions. Units Sold at Retail Jan. Units Acquired at
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions. Units Sold at Retail Jan. Units Acquired at Cost 730 units @ $55.00 per unit 465 units @ $52.00 per unit 265 units @ $37.00 per unit Date Activities 1 Beginning inventory Feb. 10 Purchase Mar. 13 Purchase Mar. 15 Sales Aug. 21 Purchase Sept. 5 Purchase Sept. 10 Sales Totals 865 units @ $85.00 per unit 230 units @ $60.00 per unit 630 units @ $56.00 per unit 940 units @ $85.00 per unit 1,805 units 2,320 units Required: 1. Compute cost of goods available for sale and the number of units available for sale. Cost of goods available for sale Number of units available for sale $123,215 2,320 units 2. Compute the number of units in ending inventory. Ending inventory 515 units 3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification units sold consist of 730 units from beginning inventory, 235 from the February 10 purchase, 265 from the March 13 purchase, 115 from the August 21 purchase, and 460 from the September 5 purchase. (Round your average cost per unit to 2 decimal places. Round your final answers to the nearest whole dollar amount.) Ending Inventory (a) (b) (c) (d) FIFO LIFO Weighted average Specific identification 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places. Round your final answers to the nearest whole dollar amount.) FIFO LIFO Weighted Average Specific Identification Sales Less: Cost of goods sold Gross profit $ 0 $ 0 $ 0 $ 0
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