Problem 1

The following data about Maxwell Company is given for the month of August.

August 1 Inventory 800 units at P10

12 Purchase 1,000 units at P12

14 Purchase 500 units at P11.50

16 Issue 800 units

18 Purchase 600 units at P15

20 Issue 500 units

25 Purchase 400 units at P14

28 Issue 800 units

Required:

1. Using FIFO method of costing materials, how much is the cost of ending inventory for August?
2. How much is the cost of materials issued or used for production?
3. How much is the total goods available for sale?