Your company sells, for 275 each unit, a product that it purchases from several different manufacturers, all

Your company sells, for £275 each unit, a product that it purchases from several different manufacturers, all charging different prices. The manufacturers deliver at the beginning of each week throughout each month. The following details relate to the month of February.

From the above data you are required to:
a. Prepare inventory records detailing quantities and values using the following pricing techniques:
i. Last in, first out (LIFO);
ii. First in, first out (FIFO);
iii. Weighted average cost (calculated monthly to the nearest £).
b. Prepare statements of profit and loss using each of the inventory cost flow pricing methods in (a) above and show the gross profit for each method.
c. Compare the results of your calculations and state the advantages and disadvantages of FIFO and LIFO pricing methods in times of inflation?

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Quantity 10 20 34 50 30 Cost each £145 £150 £165 £145 £175 Sales (units) Opening inventories Deliveries: Week 15 Week 2 Week 3 Week 4 35 39 ее