Cost Flow Methods The following three identical units of Item PX2T are purchased during April: Item PX2T Units Cost April 2 Purchase $207 April 14 Purchase 1. 211 April 28 Purchase 215 Total $633 Average cost per unit $211 ($633 + 3 units) Assume that one unit is sold on April 30 for $268. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost methods. Gross Profit Ending Inventory a. First-in, first-out (FIFO) b. Last-in, first-out (LIFO) $4 c. Weighted average cost $4
Cost Flow Methods The following three identical units of Item PX2T are purchased during April: Item PX2T Units Cost April 2 Purchase $207 April 14 Purchase 1. 211 April 28 Purchase 215 Total $633 Average cost per unit $211 ($633 + 3 units) Assume that one unit is sold on April 30 for $268. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost methods. Gross Profit Ending Inventory a. First-in, first-out (FIFO) b. Last-in, first-out (LIFO) $4 c. Weighted average cost $4
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter7: Inventories
Section: Chapter Questions
Problem 1PEA: The following three identical units of Item A are purchased during April: Assume that one unit is...
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