Xinxin Distribution markets CDs of the performing artist Carly. At the beginning of March, Xinxin had in

Question:

Xinxin Distribution markets CDs of the performing artist Carly. At the beginning of March, Xinxin had in beginning inventory 1,500 Carly CDs with a unit cost of $7. During March Xinxin made the following purchases of Carly CDs.

March 5 3,000 @ $8 .....March 21 4,000 @ $10

March 13 4,500 @ $9 ..... March 26 2,500 @ $11

During March, 12,000 units were sold. Xinxin uses a periodic inventory system.

Instructions

(a) Determine the cost of goods available for sale.

(b) Determine

(1) The ending inventory

(2) The cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods.

(1) The highest inventory amount for the balance sheet

(2) The highest cost of goods sold for the income statement?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =... Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...