The following pertains to the cost of H’s only inventory item:   Inventory on hand, January 1                                         0 units Purchases, January 2                                       75 units @ $14 per unit Purchases, January 12                                                        95 units @ $16 per unit Purchases, January 16                                                        35 units @ $17 per unit Purchases, January 20                                       40 units @ $19 per unit Purchases, January 26                                       15 units @ $20 per unit 260   Sales, January 5  35 units @ $30 per unit Sales, January 11   20 units @ $30 per unit Sales, January 13   45 units @ $30 per unit Sales, January 25   10 units @ $30 per unit Sales, January 27   25 units @ $30 per unit 135                                             (135 x $30 = $4,050)   Calculate COGS AND GP for January AND EI as of 01-31 under the following assumptions:   H uses periodic LIFO EI:                                                                                   COGS:                                                                           Gross profit:                                                                    H uses periodic FIFO EI:                                                                                   COGS:                                                                           Gross profit:                                                                    H uses a weighted average method and rounds the unit cost to the nearest penny. EI:                                                                                   COGS:                                                                           Gross profit:

Question

 The following pertains to the cost of H’s only inventory item:

 

  • Inventory on hand, January 1                                         0 units
  • Purchases, January 2                                       75 units @ $14 per unit
  • Purchases, January 12                                                        95 units @ $16 per unit
  • Purchases, January 16                                                        35 units @ $17 per unit
  • Purchases, January 20                                       40 units @ $19 per unit
  • Purchases, January 26                                       15 units @ $20 per unit

260

 

  • Sales, January 5  35 units @ $30 per unit
  • Sales, January 11   20 units @ $30 per unit
  • Sales, January 13   45 units @ $30 per unit
  • Sales, January 25   10 units @ $30 per unit
  • Sales, January 27   25 units @ $30 per unit

135                                             (135 x $30 = $4,050)

 

Calculate COGS AND GP for January AND EI as of 01-31 under the following assumptions:

 

  • H uses periodic LIFO

EI:                                                                                  

COGS:                                                                          

Gross profit:                                                                 

 

  • H uses periodic FIFO

EI:                                                                                  

COGS:                                                                          

Gross profit:                                                                 

 

  • H uses a weighted average method and rounds the unit cost to the nearest penny.

EI:                                                                                  

COGS:                                                                          

Gross profit:                                                                 

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