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Using this imformation: a.) calculate ending inventory using the periodic method. b.) calculate the COGS using the periodic method. c.) calculate the ending inventory using
Using this imformation: a.) calculate ending inventory using the periodic method. b.) calculate the COGS using the periodic method. c.) calculate the ending inventory using the perpetual method. d.) calculate COGS using the perpetual method. Kelvin Co. has traditionally reported inventory using the periodic weighted average method. However, the CFO has been pushing to move to the perpetual method. After looking into both methods, the management team believes the best option will be to switch to the perpetual method, since it more closely track inventory flow. However, they would like to see ending inventory and COGS both ways for one month before making a final decision. The table below presents Kelvin Co.'s inventory information for the past month. As you work, keep in mind that Kelvin Co. has decided to round their average inventory costs to the nearest penny and their final inventory values to the nearest dollar, since smaller amounts are not considered material
Using this imformation:
a.) calculate ending inventory using the periodic method.
b.) calculate the COGS using the periodic method.
c.) calculate the ending inventory using the perpetual method.
d.) calculate COGS using the perpetual method.
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