To more efficiently manage its inventory, Treynor Corporation maintains its internal inventory records using first-in, first-out (FIFO) under a perpetual inventory system. The following information relates to its merchandise inventory during the year: Jan. 1 Inventory on hand-20,000 units; cost $13.10 each. Feb. 12 Purchased 70,000 units for $13.40 each. Apr. 30 Sold 50,000 units for $20.90 each. Jul. 22 Purchased 50,000 units for $13.70 each. Sep. 9 Sold 70,000 units for $20.90 each. Nov. 17 Purchased 40,000 units for $14.10 each. Dec. 31 Inventory on hand-60,000 units. Required: 1. Determine the amount Treynor would calculate internally for ending inventory and cost of goods sold using first-in, first-out (FIFO) under a perpetual inventory system. 2. Determine the amount Treynor would report externally for ending inventory and cost of goods sold using last-in, first-out (LIFO) under a periodic inventory system. (Assume beginning inventory under LIFO was 20,000 units with a cost of $12.60). 3. Determine the amount Treynor would report for its LIFO reserve at the end of the year. 4. Record the year-end adjusting entry for the LIFO reserve, assuming the balance at the beginning of the year was $10,000. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the amount Treynor would calculate internally for ending inventory and cost of goods sold using first-in, first-out (FIFO) under a perpetual inventory system. ( places) Cost of Goods Available for Sale Cost of Goods Sold - April 30 Cost of Goods Sold - September 9 Inventory Balance Perpetual FIFO: Cost per # of units Cost of Goods Available for Sale # # of units sold Cost per unit Cost of Goods Sold # of units Cost per sold unit unit Cost of Goods Sold Total Cost of Goods Sold # of units In onding inventory Cost per unit Ending Inventory Beg. Inventory 20,000 $ 13.10 $ 262,000 20,000 $ 13.10 $ 262,000 S 13.10 $ 0 $ 13.10 $ 0 Dirrhoeve Check my work 2. Determine the amount Treynor would report externally for ending inventory and cost of goods sold using last-in, first-out (LIFO) under a periodic inventory system. (Assume beginning inventory under LIFO was 20,000 units with a cost of $12.60). 3. Determine the amount Treynor would report for its LIFO reserve at the end of the year. 4. Record the year-end adjusting entry for the LIFO reserve, assuming the balance at the beginning of the year was $10,000. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the amount Treynor would calculate internally for ending inventory and cost of goods sold using first-in, first-out (FIFO) under a perpetual inventory system. ( places.) Cost of Goods Available for Sale Cost of Goods Sold - April 30 Cost of Goods Sold - September 9 Inventory Balance Perpetual FIFO: Cost per # of units Cost of Goods Available for Sale # of units sold Cost per unit Cost of # of units Cost per Goods Sold sold unit Cost of Goods Sold Total Cost of Goods Sold # of units in ending inventory Cost per unit unit Ending Inventory 20,000 $ 13.10 $$ 262,000 20,000 $ 13.10 $ 262,000 $ 13.10 $ 0 $ 13.10 $ 0 13.40 13.40 13.40 0 Beg. Inventory Purchases: February 12 July 22 November 17 Total 13.70 0 70,000 50.000 40,000 180,000 13.70 14.10 938,000 685,000 564,000 $ 2,449,000 20,000 13.40 13.70 14.10 13.70 14.10 14.10 $ 262,000 0 $ 0 $ 262,000 0 0 $ Required 1 Required 2 >
