Question
Question 4 Riverbed Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019,
Question 4
Riverbed Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a cost of $20 per unit. None of this inventory was sold in 2019. Relevant information for fiscal 2020 is as follows: Ending inventory units:
| December 31, 2019 | 130 | ||||||
| December 31, 2020, by purchase date | |||||||
| Dec. 2, 2020 | 130 | ||||||
| July 20, 2020 | 30 | 160 | |||||
During 2020, the following purchases and sales were made:
| Purchases | Sales | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Mar. | 15 | 350 units at $24 | Apr. | 10 | 220 | |||||
| July | 20 | 350 units at $26 | Aug. | 20 | 300 | |||||
| Sept. | 4 | 250 units at $30 | Nov. | 18 | 170 | |||||
| Dec. | 2 | 130 units at $32 | Dec. | 12 | 360 | |||||
The company uses the periodic inventory method
Required:
1-Determine ending inventory under specific identification.
2-Determine ending inventory under FIFO
3-Determine ending inventory under weighted average cost
Thank you in advance
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