Question
Vaughn Manufacturing is a retailer operating in Calgary, Alberta. Vaughn uses the perpetual inventory method. Assume that there are no credit transactions; all amounts are
Vaughn Manufacturing is a retailer operating in Calgary, Alberta. Vaughn uses the perpetual inventory method. Assume that there are no credit transactions; all amounts are settled in cash. You are provided with the following information for Vaughn for the month of January 2022.
Date | Description | Quantity | Unit Cost or Selling Price | |||
---|---|---|---|---|---|---|
Dec. 31 | Ending inventory | 150 | $20 | |||
Jan. 2 | Purchase | 100 | 21 | |||
Jan. 6 | Sale | 185 | 37 | |||
Jan. 9 | Purchase | 65 | 25 | |||
Jan. 10 | Sale | 60 | 48 | |||
Jan. 23 | Purchase | 105 | 26 | |||
Jan. 30 | Sale | 125 | 51 |
Jan. 1 | $enter a dollar amount | |
---|---|---|
Jan. 2 | $enter a dollar amount | |
Jan. 6 | $enter a dollar amount | |
Jan. 9 | $enter a dollar amount | |
Jan. 10 | $enter a dollar amount | |
Jan. 23 | $enter a dollar amount | |
Jan. 30 | $enter a dollar amount |
For each of the following cost flow assumptions, calculate (i) cost of goods sold, (ii) ending inventory, and (iii) gross profit. (Round answers to 0 decimal places, e.g. 125.)
(1) | LIFO. | |
(2) | FIFO. | |
(3) | Moving-average. |
LIFO | FIFO | Moving-average | ||||
---|---|---|---|---|---|---|
Cost of goods sold | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | |||
Ending inventory | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | |||
Gross profit | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount |
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