pany cost of $20 per unit. During the year, the following purchases were made: Mar. 15 July 20 Sept. 4 300 units at $24 200 units at $25 300 units at $28 Dec. 2 100 units at $30 By year end, 750 units were sold. Choi Company uses a periodic inventory system. Instructions a beginning inventory on January 1 of 100 units of Product SXL at a (a) Determine the cost of goods available for sale. (b) Determine (1) the cost of the ending inventory, and (2) the cost of goods sold under each of the three assumed cost flow methods (FIFO, weighted average, and LIFO). (c) During a period of rising prices (as is illustrated in this situation), which cost flow method results in (1) the highest inventory amount for the balance sheet, and (2) the highest cost of goods sold for the income statement?

pany cost of $20 per unit. During the year, the following purchases were made: Mar. 15 July 20 Sept. 4 300 units at $24 200 units at $25 300 units at $28 Dec. 2 100 units at $30 By year end, 750 units were sold. Choi Company uses a periodic inventory system. Instructions a beginning inventory on January 1 of 100 units of Product SXL at a (a) Determine the cost of goods available for sale. (b) Determine (1) the cost of the ending inventory, and (2) the cost of goods sold under each of the three assumed cost flow methods (FIFO, weighted average, and LIFO). (c) During a period of rising prices (as is illustrated in this situation), which cost flow method results in (1) the highest inventory amount for the balance sheet, and (2) the highest cost of goods sold for the income statement?

Name: P6-4A Choi Company had a beginning inventory on January 1 of 100 unit
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Description: P6-4A Choi Company had a beginning inventory on January 1 of 100 units of Product SXL at acost of $20 per unit. During the year, the following purchases were made:Mar. 15July 20300 units at $24200 units at $25Sept. 4300 units at $28Dec. 2100 units a

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter6: Cost Of Goods Sold And Inventory

Section: Chapter Questions

Problem 51E: Inventory Costing Methods On June 1, Welding Products Company had a beginning inventory of 210 cases...

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