Question 1

Crane Industries had the following inventory transactions occur during 2020:

Units. Cost/unit

2/1/20. Purchase. 57. $40

3/14/20. Purchase. 94. $49

5/1/20. Purchase. 70. $49

The company sold 153 units at $70 each and has a tax rate of 30%. Assuming that a periodic inventory system is used, what is the company's gross profit using LIFO? (rounded to whole dollars)

A) $3213

B) $6885

C) $7344

D) $4590

Question 2

Crane Industries has the following inventory information.

July1 Beginning Inventory 30 units at $110

5. Purchases. 220 units at $108

14 Sale. 140 units

21 Purchases. 90 units at $110

30 Sale. 120 units

Assuming that a periodic inventory system is used, what is the amount allocated to ending inventory on a LIFO basis?

A) $26400

B) $30360

C) $9030

D) $8700

Question 3

As a result of a thorough physical inventory, Concord Company determined that it had inventory worth $320700 at December 31, 2020. This count did not take into consideration the following facts: Walker Consignment currently has goods worth $47000 on its sales floor that belong to Concord but are being sold on consignment by Walker. The selling price of these goods is $75700. Concord purchased $22000 of goods that were shipped on December 27, FOB destination, that will be received by Concord on January 3. Determine the correct amount of inventory that Concord should report.

A) $342700.

B) $367700.

C) $389700.

D) $320700.