Nittany Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 1: Units Unit Cost Inventory, December 31, prior year For the current year: 1,870 $ 5 Purchase, March 21 5,070 7 Purchase, August 1 Inventory, December 31, current 2,880 4,110 8 year Required: Compute ending inventory and cost of goods sold for the current year under FIFO, LIFO, and average cost inventory costing methods.
Nittany Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 1: Units Unit Cost Inventory, December 31, prior year For the current year: 1,870 $ 5 Purchase, March 21 5,070 7 Purchase, August 1 Inventory, December 31, current 2,880 4,110 8 year Required: Compute ending inventory and cost of goods sold for the current year under FIFO, LIFO, and average cost inventory costing methods.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter7: Inventories: Cost Measurement And Flow Assumptions
Section: Chapter Questions
Problem 11RE: Jessie Stores uses the periodic system of calculating inventory. The following information is...
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Transcribed Image Text:Nittany Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the
current year, the accounting records provided the following information for product 1:
Units
Unit
Cost
Inventory, December 31, prior
year
For the current year:
1,870 $5
Purchase, March 21
5,070 7
Purchase, August 1
Inventory, December 31, current
2,880
4,110
8
year
Required:
Compute ending inventory and cost of goods sold for the current year under FIFO, LIFO, and average cost inventory
costing methods.
Note: Round "Average cost per unit" to 2 decimal places and final answers to nearest whole dollar amount.
Ending inventory
Cost of goods
sold
FIFO
LIFO
Average Cost
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