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Please help, I am not sure what I'm doing wrong with LIFO. Please explain. Inventory Costing Methods-Periodic Method Chen Sales Corporation uses the periodic inventory
Please help, I am not sure what I'm doing wrong with LIFO. Please explain.
Inventory Costing Methods-Periodic Method Chen Sales Corporation uses the periodic inventory system. On January 1, 2012, Chen had: 1,000 units of product A with a unit cost of $50 per unit. A summary of purchases and sales during 2012 follows: Unit Units Units Cost Purchased Sold Feb.2 400 Apr.6 $52 1,800 July 10 1,600 Aug. 9 56 800 Oct.23 800 Dec.30 59 1,200 Required a. Assume that Chen uses the first-in, first-out method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A. b. Assume that Chen uses the last-in, first-out method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A. C. Assume that Chen uses the weighted-average cost method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A. Do not round until your final answers. Round your answers to the nearest dollar. 115,600 143,600 a. First-in, First-out: Ending Inventory $ Cost of Goods Sold $ b. Last-in, first-out: Ending Inventory $ Cost of Goods Sold $ C. Weighted Average Ending Inventory $ Cost of goods sold $ 111,200 x 148,000 x 108,000 151,200Step by Step Solution
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