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Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions Date Jan. 1 Beginning inventory Feb. 10 Purchase
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions Date Jan. 1 Beginning inventory Feb. 10 Purchase Mar. 13 Purchase Mar. 15 Sales Aug. 21 Purchase Sept. 5 Purchase Sept. 10 Sales Activities Units Acquired at Cost 770 units $75.00 per unit 485 units $72.00 per unit 285 units$57.00 per unit Units Sold at Retail 885 units $105.00 per unit 270 units $80.00 per unit 670 units $76.00 per unit 1,020 units $105.00 per unit 1,905 units Totals 2,480 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 units 2. Compute the number of units in ending inventory. Ending inventory 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 770 units from beginning inventory, 215 from the February 10 purchase, 285 from the March 13 purchase, 135 from the August 21 purchase, and 500 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) FIFC (b) LIFO (c) Weighted average (d) 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.) Weighted Average Specific Identification FIFO LIFO Sales Less: Cost of goods sold Gross profit
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