Problem 5-3A Perpetual: Alternative cost flows LO P1

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions

Date

Activities

Units Acquired at Cost

Units Sold at Retail

Jan.

1

Beginning inventory

700

units

@ $50 per unit

Feb.

10

Purchase

300

units

@ $46 per unit

Mar.

13

Purchase

100

units

@ $40 per unit

Mar.

15

Sales

780

units

@ $70 per unit

Aug.

21

Purchase

110

units

@ $55 per unit

Sept.

5

Purchase

570

units

@ $52 per unit

Sept.

10

Sales

680

units

@ $70 per unit

Totals

1,780

units

1,460

units

Required: 1. Compute cost of goods available for sale and the number of units available for sale.

2. Compute the number of units in ending inventory.

3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, units sold consist of 700 units from beginning inventory, 200 from the February 10 purchase, 100 from the March 13 purchase, 60 from the August 21 purchase, and 400 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.)