Problem 8-05 (Part Level Submission)

Some of the information found on a detail inventory card for Vaughn Inc. for the first month of operations is as follows.

		Received
Date		No. of Units		Unit Cost		Issued, No. of Units		Balance, No. of Units
January 2		1,700		$4.29				1,700
7						1,200		500
10		1,100		4.58				1,600
13						1,000		600
18		1,500		4.72		800		1,300
20						1,100		200
23		1,800		4.86				2,000
26						1,300		700
28		2,100		5.01				2,800
31						1,800		1,000

Average-cost per unit is $4.72

From these data compute the ending inventory on each of the following bases. Assume that perpetual inventory records are kept in units only. (1) First-in, first-out (FIFO). (2) Last-in, first-out (LIFO). (3) Average-cost.

Answer is ending Inventory FIFO 5010 LIFO 4290 and Average Cost $4720

If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, would the amounts shown as ending inventory in (1), (2), and (3) above be the same? What amount would be shown as ending inventory? (Round average cost per unit to 4 decimal places, e.g. 2.7621 and final answers to 0 decimal places, e.g. 6,548.)

Would the amount be same? FIFO YES Ending inventory $5010. LIFO No $4791 Average Cost No But I do not know how to get this answer for Ending inventory for average cost.