Pina Colada Distribution markets CDs of numerous performing artists. At the beginning of March, Pina Colada had in beginning inventory 3,400 CDs with a unit cost of $6. During March, Pina Colada made the following purchases of CDs.

March 5		4,250	@	$7		March 21		7,100	@	$9
March 13		5,950	@	$8		March 26		4,800	@	$10

During March 19,000 units were sold. Pina Colada uses a periodic inventory system.

ANSWER C

(a)

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Your answer is correct.

Determine the cost of goods available for sale.

Cost of goods available for sale

$enter the Cost of goods available for sale in dollars

eTextbook and Media

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• Video

Attempts: 1 of 5 used

(b1)

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Your answer is correct.

Calculate weighted-average cost per unit. (Round answer to 3 decimal places, e.g. 2.257.)

Weighted-average cost per unit

$enter cost per unit in dollars rounded to 2 decimal places

eTextbook and Media

Attempts: 1 of 5 used

(b2)

Determine (1) the ending inventory and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods. (Round answers to 0 decimal places, e.g. 1,250. Use weighted-average unit cost rounded to 3 decimal places for computations.)

		FIFO		LIFO		AVERAGE-COST
The ending inventory		$enter the ending inventory amount as per FIFO in dollars		$enter the ending inventory amount as per LIFO in dollars		$enter the ending inventory amount as per Average-cost in dollars
The cost of goods sold		$enter the cost of goods sold amount as per FIFO in dollars		$enter the cost of goods sold amount as per LIFO in dollars		$enter the cost of goods sold amount as per Average-cost in dollars