The following three identical units of Item K113 are purchased during April:   Item Beta   Units   Cost   April 2 Purchase   1   $300   April 15 Purchase   1   301   April 20 Purchase   1   302   Total     3   $903   Average cost per unit         $301 ($903 ÷ 3 units) Assume that one unit is sold on April 27 for $376. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method.

Q: The following three identical units of Item JC07 are purchased during April:   Item JC07   Units…

A: Calculation of gross profit and ending inventory:

Q: Date Purchases Sales   Units Cost/Unit Units Jan. 1 100 $0.80    Jan. 4 390 0.90   Jan. 5     280…

A: The inventory can be evaluated using various methods as: FIFO, LIFO and Weighted Average method.

Q: Crane Company reports the following for the month of June. Date Explanation Units Unit Cost Total…

A: Moving average unit cost will be calculated by dividing total costs by number of units.

Q: Cost Flow Methods The following three identical units of Item Alpha are purchased during April: Item…

A: FIFO: In First-in-First-Out method, items purchased initially are sold first. So, the value of the…

Q: Silawing current-year purchases and sales for its only product. Date January 1 January 10 March 14…

A: The LIFO and FIFO method are the most important methods of Inventory valuation. The FIFO method…

Q: Cost Flow Methods The following three identical units of Item PX2T are purchased during April: Item…

A:

Q: Massive Company provided the following information for the current year: Unit cost Total cost Units…

A: Inventory is defined as the goods purchased by an entity with the purpose to resell them to earn…

Q: Required information Use the following information for the Quick Study below. (Algo) (5-7) [The…

A: Under weighted average cost method of Inventory valuation, Cost of goods available for sale by the…

Q: company had the following purchases and sales during its first month of operations: Date Activities…

A: Tje average cost per unit is calculated as total cost of goods available for sale divided by number…

Q: The following three identical units of Item P401C are purchased during April:   Item Beta   Units…

A: Formulas:

Q: The following three identical units of Item JC07 are purchased during April:   Item Beta   Units…

A: FIFO is first in first out inventory method which says that inventory which is purchased first must…

Q: Cost Flow Methods The following three identical units of Item K113 are purchased during April:…

A: Gross profit = Sales - Cost

Q: A company had the following purchases during its first year of operations: Purchases 20 units at S 5…

A: Average cost per unit = Total cost of goods available for sale /Total no. of units available for…

Q: Cost Flow Methods The following three identical units of Item JC07 are purchased during April:…

A: Solution:- Calculation of the gross profit for April and ending inventory on April 30 as follow:-

Q: Compute the cost of the ending inventory and the cost of goods sold under (1)FIFO and (2)LIFO.(2…

A:

Q: NEEDED IN 10 MINUTES Computational. ABC sells item A as part of its product line. Information as to…

A:

Q: Unit Transactions Units Cost $ 50 Beginning inventory, January 1 Transactions during the year: a.…

A: A) Last in First out: Date   Purchases     Cost of Goods Sold     Closing Inventory     Qty.…

Q: QUESTION 1 A company had the following purchases during its first year of operations: Sales…

A: The weighted average cost technique is for valuing and managing inventories. To get the weighted…

Q: Perpetual: LIFO and Moving-Average Kelley Company began business on January 1, 20-1. Purchases and…

A: The Numerical has covered the concept of Valuing Ending Inventory Under  LIFO, Moving Average…

Q: Pronghorn Corp reports the following for the month of June. Date Explanation Units Unit Cost Total…

A: Following are the calculation of weighted average unit cost:

Q: Concord Company reports the following for the month of June. Date Explanation Units Unit Cost Total…

A: In this question we will find out Ending inventory, COGS with LIFO, FIFO method and Average cost…

Q: Cost Flow Methods The following three identical units of Item Alpha are purchased during April: Item…

A: gross profit = sales - the cost of goods.   The FIFO method uses the inventory which has been…

Q: Cost Flow Methods The following three identical units of Item JC07 are purchased during April:…

A: A) First-in, first-out (FIFO Gross profit =Cost of sale on April 27 - Cost of puurchase on April…

Q: The following three identical units of Item K113 are purchased during April: Item Beta Units Cost…

A: FIFO & LIFO Method: First-in, first-out (FIFO) is an accounting approach in which assets that…

Q: Cost Flow Methods The following three identical units of Item Alpha are purchased during April: Item…

A:

Q: Concord Company reports the following for the month of June. Unit Date Explanation Units Total Cost…

A: Under FIFO, inventory is valued at latest prices while cost of goods sold at initial prices. Under…

Q: The following three identical units of Item PX2T are purchased during April:   Item Beta   Units…

A: Gross profit = Sales - cost of goods sold Ending inventory = Total cost of goods available for sale…

Q: LOVING-KINDNESS Corp’s inventory records revealed the following: Date Transaction Number of Units…

A: Date Transaction Numberof Units UnitCost TotalCost  August 1  Beginning inventory 500  P8.50…

Q: Units Unit Cost Total Cost Beginning inventory Purchases Sales (47 units at $24,630 each) 20 $11,520…

A: In LIFO it is assumed that the last purchased item will be sold first. So, the closing inventory…

Q: Quantity Unit Cost Total Cost Beginning inventory (Jan. 1) Purchase (Jan. 11) $ 14 $ 322 $ 20 $ 2 23…

A: Inventory valuation methods include: FIFO Method LIFO method Weighted average method

Q: The following three identical units of Item JC07 are purchased during April:   Item Beta   Units…

A:

Q: Moving Question 1 National supplies company had the following activity during the current monthly…

A: Using weighted average method, the cost per unit is calculated as total cost of goods available for…

Q: Date Transaction Number of Units Unit Cost April 1 Beginning Inventory 420 2.12 April 20 Purchase…

A: Weighted average cost method is a method of inventory valuation. In this method, purchases are added…

Q: urrent ALLE empt mFIogress Flint Corporation uses a perpetual inventory system reports the following…

A: The average cost per unit using the perpetual inventory system is the price at which the balance of…

Q: Cost flow methodsThe following three identical units of Item P401C are purchased duringApril:…

A: Gross profit is the amount which is earned after reducing the cost of goods sold from the revenues…

Q: Hassan Company reports the following for the month of June.     Units Unit cost Total Cost June…

A: a)

Q: Cost Flow Methods The following three identical units of Item LO3V are purchased during April: Item…

A: FIFO & LIFO Method: First in, first out (FIFO) is an accounting approach in which assets that…

Q: Date Activities Purchase Purchase Sales Units Acquired at Cost 10 units @ $25 = $250 15 units @ $28…

A: Formulas that are used:-   Note:- I have used the weighted average method to calculate the per-unit…

Q: URWU N OLU U UI U a LURU U, LIL aL Units 1, 600 Unit Cost $ 45 Transactions Beginning inventory,…

A: Inventory Valuation Methods are methods of valuation of inventory. There are three methods of…

Q: King purchases two components for its primary product. They need 3 of Component A and 2 of Component…

A: Budgeted purchases are the quantity of materials that need to be purchased in order to meet…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.