Dudley Wholesale buys peaches from farmers and sells them to canneries. During August 2000, Dudley's inventory records
Question:
Dudley Wholesale buys peaches from farmers and sells them to canneries. During August 2000, Dudley's inventory records showed the following
\begin{tabular}{|c|c|c|c|}
\hline & & Cases & Price \\
\hline August 1 & Beginning inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . & 4,100 & $\$ 10.50$ \\
\hline 4 & Purchase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . & 1,500 & 11.00 \\
\hline 9 & Sale & 950 & $19.95-$ \\
\hline 13 & Purchase & 1,000 & $11.00 \quad$ \\
\hline 19 & . . . . . . . . . . . . . . . . & 1,450 & $19.95-$ \\
\hline 26 & . . . . . . . . ................... & 1,700 & 11.50 \\
\hline 30 & . . . . . . . . & 1,900 & ![](https://cdn.mathpix.com/cropped/2024_06_21_3f3a663d80d41d3f9137g-248.jpg?height=39\&width=88\&top_left_y=2027\&top_left_x=1687) \\
\hline
\end{tabular}
Dudley Wholesale uses the periodic inventory method to account for its inventory, which means that all sales are assumed to occur at the end of the period no matter when they actually occurred.
Calculate the cost of goods sold and ending inventory using the following cost flow alternatives. (Calculate unit costs to the nearest tenth of a cent.)
1. FIFO 2. LFO 3. Average cost
Step by Step Answer:
Survey Of Accounting
ISBN: 9780538846172
1st Edition
Authors: James D. Stice, W. Steve Albrecht, Earl Kay Stice, K. Fred Skousen