Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Perpetual: LIFO and Moving-Average Kelley Company began business on January 1, 20-1. Purchases and sales during the month of January are shown. Date Purchases Sales
Perpetual: LIFO and Moving-Average
Kelley Company began business on January 1, 20-1. Purchases and sales during the month of January are shown.
Date | Purchases | Sales | |
Units | Cost/Unit | Units | |
Jan. 1 | 100 | $1.00 | |
Jan. 4 | 400 | 1.10 | |
Jan. 5 | 300 | ||
Jan. 10 | 300 | 1.30 | |
Jan. 12 | 200 | ||
Jan. 15 | 200 | 1.35 | |
Jan. 18 | 500 | 1.60 | |
Jan. 22 | 800 | ||
Jan. 27 | 100 | ||
Jan. 31 | 300 | 1.80 |
Required:
Calculate the total amount to be assigned to cost of goods sold for January and the ending inventory on January 31, under each of the following methods. In your calculations round the average unit cost to four decimal places and answers to the nearest cent.
Cost of Goods Sold | Inventory on Hand | |
1. Perpetual LIFO inventory method | $fill in the blank 1 | $fill in the blank 2 |
2. Perpetual moving-average inventory method | $fill in the blank 3 | $fill in the blank 4 |
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