Inventory Costing Methods—Periodic Method The following information is for the Bud Company for the year; the company sells just one product: Units Unit Cost Beginning Inventory 200 $10 Purchases: Feb. 11 500 14 May 18 400 16 Oct. 23 100 22 At year-end, there was an ending inventory of 340 units. Assume the use of the periodic inventory method. Calculate the value of ending inventory and the cost of goods sold for the year using (a) first-in, first-out, (b) last-in, first-out, and (c) the weighted-average cost method. Do not round until your final answers. Round your answers to the nearest dollar. A. First-in, First-out: Ending Inventory Answer Cost of goods sold Answer B. Last-in, first-out: Ending Inventory Answer Cost of goods sold Answer C. Weighted Average Ending Inventory Answer Cost of goods sold Answer
Inventory Costing Methods—Periodic Method The following information is for the Bud Company for the year; the company sells just one product: Units Unit Cost Beginning Inventory 200 $10 Purchases: Feb. 11 500 14 May 18 400 16 Oct. 23 100 22 At year-end, there was an ending inventory of 340 units. Assume the use of the periodic inventory method. Calculate the value of ending inventory and the cost of goods sold for the year using (a) first-in, first-out, (b) last-in, first-out, and (c) the weighted-average cost method. Do not round until your final answers. Round your answers to the nearest dollar. A. First-in, First-out: Ending Inventory Answer Cost of goods sold Answer B. Last-in, first-out: Ending Inventory Answer Cost of goods sold Answer C. Weighted Average Ending Inventory Answer Cost of goods sold Answer
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter5: Inventories And Cost Of Goods Sold
Section: Chapter Questions
Problem 5.24MCE
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Inventory Costing Methods—Periodic Method
The following information is for the Bud Company for the year; the company sells just one product:
| Units | Unit Cost | ||
|---|---|---|---|
| Beginning Inventory | 200 | $10 | |
| Purchases: | Feb. 11 | 500 | 14 |
| May 18 | 400 | 16 | |
| Oct. 23 | 100 | 22 |
At year-end, there was an ending inventory of 340 units. Assume the use of the periodic inventory method. Calculate the value of ending inventory and the cost of goods sold for the year using (a) first-in, first-out, (b) last-in, first-out, and (c) the weighted-average cost method.
Do not round until your final answers. Round your answers to the nearest dollar.
| A. | First-in, First-out: | |
| Ending Inventory | Answer
|
|
| Cost of goods sold | Answer
|
|
| B. | Last-in, first-out: | |
| Ending Inventory | Answer
|
|
| Cost of goods sold | Answer
|
|
| C. | Weighted Average | |
| Ending Inventory | Answer
|
|
| Cost of goods sold | Answer
|
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