Problem 6-2A (Part Level Submission)

Sheffield Distribution markets CDs of the performing artist Fishe. At the beginning of October, Sheffield had in beginning inventory 3,800 of Fishes CDs with a unit cost of $7. During October, Sheffield made the following purchases of Fishes CDs.

Oct. 3		4,750	@	$8		Oct. 19		5,700	@	$10
Oct. 9		6,650	@	$9		Oct. 25		7,600	@	$11

During October, 20,710 units were sold. Sheffield uses a periodic inventory system.

(a)

	Your answer is correct.

Determine the cost of goods available for sale.

Cost of goods available for sale

265050

Click if you would like to Show Work for this question:

Open Show Work

SHOW SOLUTION
LINK TO TEXT

Attempts: 1 of 3 used

(b1)

	Your answer is correct.

Calculate weighted-average cost per unit. (Round answer to 2 decimal places, e.g. 2.25.)

Weighted-average cost per unit

9.3

Click if you would like to Show Work for this question:

Open Show Work

SHOW SOLUTION
LINK TO TEXT

Attempts: 1 of 3 used

(b2)

	Your answer is incorrect. Try again.

Determine (1) the ending inventory and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods. (Round answers to 0 decimal places, e.g. 1,250. Use weighted-average unit cost rounded to 2 decimal places for computations.)

		FIFO		LIFO		AVERAGE-COST
The ending inventory		$enter a dollar amount rounded to 0 decimal places		$enter a dollar amount rounded to 0 decimal places		$enter a dollar amount rounded to 0 decimal places
The cost of goods sold		$enter a dollar amount rounded to 0 decimal places		$enter a dollar amount rounded to 0 decimal places		$enter a dollar amount rounded to 0 decimal places