Question
Required information [The following information applies to the questions displayed below.] Laker Company reported the following January purchases and sales data for its only product.
Required information
[The following information applies to the questions displayed below.] Laker Company reported the following January purchases and sales data for its only product.
| Date | Activities | Units Acquired at Cost | Units sold at Retail | ||||||||||||||
| Jan. | 1 | Beginning inventory | 175 | units | @ | $ | 10.00 | = | $ | 1,750 | |||||||
| Jan. | 10 | Sales | 135 | units | @ | $ | 19.00 | ||||||||||
| Jan. | 20 | Purchase | 130 | units | @ | $ | 9.00 | = | 1,170 | ||||||||
| Jan. | 25 | Sales | 140 | units | @ | $ | 19.00 | ||||||||||
| Jan. | 30 | Purchase | 275 | units | @ | $ | 8.00 | = | 2,200 | ||||||||
| Totals | 580 | units | $ | 5,120 | 275 | units | |||||||||||
Required: The Company uses a periodic inventory system. For specific identification, ending inventory consists of 305 units, where 275 are from the January 30 purchase, 5 are from the January 20 purchase, and 25 are from beginning inventory. Determine the cost assigned to ending inventory and to cost of goods sold using (a) specific identification, (b) weighted average, (c) FIFO, and (d) LIFO.
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