Prepare a perpetual inventory record, using the LIFO inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit.

Begin by computing the cost of goods sold and cost of ending merchandise inventory using the LIFO inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.)

	Purchases			Cost of Goods Sold			Inventory on Hand
		Unit	Total		Unit	Total		Unit	Total
Date	Quantity	Cost	Cost	Quantity	Cost	Cost	Quantity	Cost	Cost
Jul. 1							90	$65	$5,850
5	130	$76	$9,880				90	$65	$5,850
							130	$76	$9,880
13				130	$76	$9,880	80	$65	$5,200
				10	$65	$650
18	170	$86	$14,620				80	$65	$5,200
							170	$86	$14,620
26				170	$86	$14,620	70	$65	$4,550
				10	$65	$650
Totals	300		$24,500	320		$25,800	70		$4,550

Determine the company's gross profit using the LIFO inventory costing method.

Gross profit is

using the LIFO inventory costing method.

Enter any number in the edit fields and then click Check Answer.

Jul. 5

Purchase

130 crates @ $76 each

Jul. 13

Sale

140 crates @ $100 each

Jul. 18

Purchase

170 crates @ $86 each

Jul. 26

Sale

180 crates @ $108 each