Required information Problem 5-1A (Static) Periodic: Alternative cost flows LO P1 [The following information applies to the questions displayed below.] Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions for March. Units Sold at Retail Units Acquired at Cost 100 units @ $50 per unit 400 units @ $55 per unit 420 units@ $85 per unit Date Activities Mar. 1 Beginning inventory Mar. 5 Purchase Mar. 9 Sales Mar. 18 Purchase Mar. 25 Purchase Mar. 29 Sales Totals 120 units @ $60 per unit 200 units @ $62 per unit 160 units @ $95 per unit 580 units 820 units For specific identification, the March 9 sale consisted of 80 units from beginning inventory and 340 units from the March 5 purchase, the March 29 sale consisted of 40 units from the March 18 purchase and 120 units from the March 25 purchase. Problem 5-1A (Static) Part 3 3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (C) weighted average, and (d) specific identification. (Round your average cost per unit to 2 decimal places.) a) Periodic FIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units Cost per unit Cost of Goods Available for Sale $ 5,000 # of units sold Cost per unit Cost of Goods Sold # of units in ending Cost per unit inventory Ending Inventory 100 $ 50.00 $ 0 $ 0.00 $ 0 0 $ 0.00 0 Beginning inventory Purchases March 5 March 18 March 25 Total 400 $ 120$ 55.00 60.00 62.00 0 22,000 7,200 12,400 $ 46,600 $ 0 0 200 820 0 0 b) Periodic LIFO Cost of Goods Sold Ending Inventory Cost of Goods Available for Sale Cost of # of units Cost per unit Goods Available for Sale 100 $ 50.00 $ 5,000 # of units sold Cost per unit Cost of Goods Sold # of units in ending Cost per unit inventory Ending Inventory 55.00 Beginning inventory Purchases: March 5 March 18 March 25 Total 22,000 7,200 400 $ 120 $ 200 $ 820 60.00 62.00 12,400 $ 46,600 0 0 c) Average Cost Cost of Goods Sold Ending Inventory Cost of Goods Available for Sale Cost of # of units Average Goods Cost per unit Available for Sale 100 $ 5.000 # of units Average Cost sold Cost of Goods Sold # of units Average Cost Ending in ending Inventory inventory per Unit per unit Beginning inventory Purchases March 5 March 18 March 25 400 120 200 820 22.000 7,200 12,400 $ 46,600 Total $ $ 0 d) Specific Identification Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units sold Cost per unit Cost of Goods # of units Cost per unit Available for Sale 100 $ 50.00 $ 5,000 Cost of Goods Sold # of units in ending Cost per unit inventory Ending Inventory 0 $ 50.00 $ 0 $ 22,000 0 $ 55.00 0 Beginning inventory Purchases: March 5 March 18 March 25 Total 400 120 200 55.00 60.00 0 $ 60.00 62.00 $ 7,200 12,400 $ 46,600 62.00 0 $ 0 820 0
