Required information Problem 8-5 (Algo) Various inventory costing methods [LO8-1, 8-4] [The following information applies to the questions displayed below.] A company began January with 6,000 units of its principal product. The cost of each unit is $9. Inventory transactions for the month of January are as follows: Date of Purchase Units January 10 5,000 Purchases Unit Cost* $ 10 Total Cost January 18 6,000 11 $ 50,000 66,000 Totals 11,000 $ 116,000 * Includes purchase price and cost of freight. Sales Date of Sale Units January 5 3,000 January 12 2,000 January 20 4,000 Total 9,000 8,000 units were on hand at the end of the month. Problem 8-5 (Algo) Part 1 Required: 1. Calculate January's ending inventory and cost of goods sold for the month using FIFO, periodic system. Cost of Goods Available for Sale Cost of Goods Sold - Periodic FIFO Ending Inventory - Periodic FIFO Cost of Number of FIFO Number of units Cost per unit Goods Available for Number of units sold Cost per unit Cost of Goods Sold units in Cost per ending unit Ending Inventory Sale inventory 6,000 $9.00 $ 54,000 6,000 $ 9.00 $ 54,000 $ 9.00 $ 0 Beginning Inventory Purchases: January 10 5,000 $10.00 50,000 January 18 6,000 $11.00 Total 17,000 $ 66,000 170,000 3,000 $ $ 10.00 30,000 $ 10.00 0 11.00 0 $ 11.00 0 9,000 $ 84,000 0 $ 0