P5. Matlock Corporation sells item A as part of its product line. Information as to balances on hand, purchases, and sales of item A are given in the following table for the first six months of 2016. Quantities Unit Price Date of Purchase Purchased Sold Balance January 11 $3.65 — — 400 January 24 $3.90 1,300 — 1,700 February 8 — — 300 1,400 March 16 — — 560 840 June 11 $4.10 600 — 1,440 Instructions (a) Compute the ending inventory at June 30 under the perpetual LIFO inventory pricing method. (b) Compute the cost of goods sold for the first six months under the periodic FIFO inventory pricing method.
P5. Matlock Corporation sells item A as part of its product line. Information as to balances on hand, purchases, and sales of item A are given in the following table for the first six months of 2016. Quantities Unit Price Date of Purchase Purchased Sold Balance January 11 $3.65 — — 400 January 24 $3.90 1,300 — 1,700 February 8 — — 300 1,400 March 16 — — 560 840 June 11 $4.10 600 — 1,440 Instructions (a) Compute the ending inventory at June 30 under the perpetual LIFO inventory pricing method. (b) Compute the cost of goods sold for the first six months under the periodic FIFO inventory pricing method.
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
Chapter5: The Income Statement And The Statement Of Cash Flows
Section: Chapter Questions
Problem 3RE: Shaquille Corporation began the current year with inventory of 50,000. During the year, its...
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P5. Matlock Corporation sells item A as part of its product line. Information as to balances on hand, purchases, and sales of item A are given in the following table for the first six months of 2016. Quantities Unit Price Date of Purchase Purchased Sold Balance January 11 $3.65 — — 400 January 24 $3.90 1,300 — 1,700 February 8 — — 300 1,400 March 16 — — 560 840 June 11 $4.10 600 — 1,440
Instructions (a) Compute the ending inventory at June 30 under the perpetual LIFO inventory pricing method. (b) Compute the cost of goods sold for the first six months under the periodic FIFO inventory pricing method.
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