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[The following information applies to the questions displayed below.] The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of
[The following information applies to the questions displayed below.]
The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations:
Jan. 20 | Purchased | 470 | units | @ | $ | 7 | = | $ | 3,290 | |
Apr. 21 | Purchased | 270 | units | @ | $ | 9 | = | 2,430 | ||
July 25 | Purchased | 350 | units | @ | $ | 12 | = | 4,200 | ||
Sept. 19 | Purchased | 160 | units | @ | $ | 14 | = | 2,240 | ||
During the year, The Shirt Shop sold 1,020 T-shirts for $23 each.
Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.)
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