Question
Pronghorn Distribution markets CDs of numerous performing artists. At the beginning of March, Pronghorn had in beginning inventory 2,390 CDs with a unit cost of
Pronghorn Distribution markets CDs of numerous performing artists. At the beginning of March, Pronghorn had in beginning inventory 2,390 CDs with a unit cost of $8. During March, Pronghorn made the following purchases of CDs.
March 5 | 2,110 | @ | $8 | March 21 | 5,000 | @ | $10 | |||
---|---|---|---|---|---|---|---|---|---|---|
March 13 | 3,360 | @ | $9 | March 26 | 1,970 | @ | $11 |
During March, 11,310 units were sold. Pronghorn uses a periodic inventory system.
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). (For calculation purposes, round average cost per unit to 3 decimal places, e.g. 5.275. Round answers to 0 decimal places, e.g. 125.)
FIFO | LIFO | AVERAGE-COST | ||||
---|---|---|---|---|---|---|
The ending inventory | $ | $ | $ | |||
The cost of goods sold | $ | $ | $ |
FIFO = first in, first out. LIFO = Last in, first out
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