Question
Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a perpetual inventory system. Also, on
- Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a perpetual inventory system. Also, on December 15, Monson sells 15 units for $34 each.
| Purchases on December 7 | 10 units @ $20.00 cost |
|---|---|
| Purchases on December 14 | 20 units @ $26.00 cost |
| Purchases on December 21 | 15 units @ $28.00 cost |
Required:
Determine the costs assigned to the December 31 ending inventory based on the FIFO method.
2. Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a perpetual inventory system. Also, on December 15, Monson sells 15 units for $34 each.
| Purchases on December 7 | 10 units @ $20.00 cost |
|---|---|
| Purchases on December 14 | 20 units @ $26.00 cost |
| Purchases on December 21 | 15 units @ $28.00 cost |
Determine the costs assigned to ending inventory when costs are assigned based on the LIFO method.
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Essentials Of Accounting
Authors: Robert N. Anthony, Leslie Pearlman Breitner
9th Edition
013149693X, 9780131496934
