Seminole Co. began the year with 23,000 units of product in its January 1 inventory costing $15 each. It made four purchases of its product during the year as follows. The company uses a periodic inventory system. On December 31, a physical count reveals that 40,000 units of its product remain in inventory. Mar. 7 . 30,000 units @ $18.00 each May 25 . 39,000 units @ $20.00 each Aug. 1 . 23,000 units @ $25.00 each Nov. 10 . 35,000 units @ $26.00 each Required 1. Compute the number and total cost of the units available for sale during the year. 2. Compute the amounts assigned to ending inventory and the cost of goods sold using (a) FIFO, (b) LIFO, and (c) weighted average. (Round all amounts to cents.)
Seminole Co. began the year with 23,000 units of product in its January 1 inventory costing $15 each. It made four purchases of its product during the year as follows. The company uses a periodic inventory system. On December 31, a physical count reveals that 40,000 units of its product remain in inventory. Mar. 7 . 30,000 units @ $18.00 each May 25 . 39,000 units @ $20.00 each Aug. 1 . 23,000 units @ $25.00 each Nov. 10 . 35,000 units @ $26.00 each Required 1. Compute the number and total cost of the units available for sale during the year. 2. Compute the amounts assigned to ending inventory and the cost of goods sold using (a) FIFO, (b) LIFO, and (c) weighted average. (Round all amounts to cents.)
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 5.11E: Inventory Costing Methods VanderMeer Inc. reported the following information for the month of...
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Seminole Co. began the year with 23,000 units of product in its January 1 inventory costing $15 each. It
made four purchases of its product during the year as follows. The company uses a periodic inventory
system. On December 31, a physical count reveals that 40,000 units of its product remain in inventory. Mar. 7 . 30,000 units @ $18.00 each
May 25 . 39,000 units @ $20.00 each
Aug. 1 . 23,000 units @ $25.00 each
Nov. 10 . 35,000 units @ $26.00 each Required
1. Compute the number and total cost of the units available for sale during the year.
2. Compute the amounts assigned to ending inventory and the cost of goods sold using (a) FIFO,
(b) LIFO, and (c) weighted average. (Round all amounts to cents.)
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