please show explanation
Samuelson and Messenger (SAM) began 2021 with 260 units of its one product. These units were purchased near the end of 2020 for $22 each. During the month of January, 130 units were purchased on January 8 for $25 each and another 260 units were purchased on January 19 for $27 each. Sales of 165 units and 160 units were made on January 10 and January 25, respectively. There were 325 units on hand at the end of the month. SAM uses a perpetual inventory system. Required: 1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. 2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. Cost of Goods Available for Sale Cost of Goods Sold - January 10 Cost of Goods Sold - January 25 Inventory Balance Perpetual FIFO Cost per # of units Cost per unit Cost of Goods Available for Sale # of units sold Cost of Goods Sold # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit unit Ending Inventory 260 $ 22.00 $ 5,720 $ 22.00 $ 0 $ 22.00 $ 0 $ 22.00 $ 0 Beg. Inventory Purchases: January 8 January 19 Total 130 25.00 3,250 25.00 0 25.00 0 0 25.00 27.00 260 27.00 7,020 27.00 0 27.00 0: 0 650 $ 15,990 0 $ 0 0 $ 0 0 $ 0 Samuelson and Messenger (SAM) began 2021 with 260 units of its one product. These units were purchased near the end of 2020 for $22 each. During the month of January, 130 units were purchased on January 8 for $25 each and another 260 units were purchased on January 19 for $27 each. Sales of 165 units and 160 units were made on January 10 and January 25, respectively. There were 325 units on hand at the end of the month. SAM uses a perpetual inventory system. Required: 1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. 2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the below table to calculate ending inventory and cost of goods sold for January using average cost (Round cost per unit to 2 decimal places. Enter inventory reductions from sales as negative numbers.) Inventory on hand Cost of Goods Sold Perpetual Average Cost per # of units Inventory Value # of units sold Avg. Cost per unit Cost of Goods Sold unit $ 0 0 0 0 0 Beginning Inventory Purchase - January 8 Subtotal Average Cost Sale - January 10 Subtotal Average Cost Purchase - January 19 Subtotal Average Cost Sale - January 25 Total 0 0 0 0 0 0 0 $ 0 0 $ 0
