Problem 6-3A Perpetual: Alternative cost flows LO P1

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year 2015 purchases and sales transactions.

Date			Activities	Units Acquired at Cost						Units Sold at Retail
Jan.	1		Beginning inventory	600	units	@	$	60	per unit
Feb.	10		Purchase	480	units	@	$	57	per unit
Mar.	13		Purchase	120	units	@	$	42	per unit
Mar.	15		Sales								785	units	@	$	80	per unit
Aug.	21		Purchase	180	units	@	$	65	per unit
Sept.	5		Purchase	470	units	@	$	63	per unit
Sept.	10		Sales								650	units	@	$	80	per unit
			Totals	1,850	units						1,435	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 600 units from beginning inventory, 380 from the February 10 purchase, 120 from the March 13 purchase, 130 from the August 21 purchase, and 205 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.)

4.	Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.)