Walgreens Boots Alliance, Inc. reported inventories of $8,678 million and $6,076 million in its August 31,2015, and August 31, 2014, balance sheets, respectively. Cost of goods sold for the year ended August 31, 2015,was $76,520 million. The company uses primarily the LIFO inventory method. A disclosure note reported that ifFIFO had been used instead of LIFO, inventory would have been higher by $2,500 million and $2,300 million atthe end of the August 31, 2015, and August 31, 2014, periods, respectively. Calculate cost of goods sold for theyear ended August 31, 2015, assuming Walgreens used FIFO instead of LIFO.
Walgreens Boots Alliance, Inc. reported inventories of $8,678 million and $6,076 million in its August 31,2015, and August 31, 2014, balance sheets, respectively. Cost of goods sold for the year ended August 31, 2015,was $76,520 million. The company uses primarily the LIFO inventory method. A disclosure note reported that ifFIFO had been used instead of LIFO, inventory would have been higher by $2,500 million and $2,300 million atthe end of the August 31, 2015, and August 31, 2014, periods, respectively. Calculate cost of goods sold for theyear ended August 31, 2015, assuming Walgreens used FIFO instead of LIFO.
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 33BE
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Walgreens Boots Alliance, Inc. reported inventories of $8,678 million and $6,076 million in its August 31,
2015, and August 31, 2014, balance sheets, respectively. Cost of goods sold for the year ended August 31, 2015,
was $76,520 million. The company uses primarily the LIFO inventory method. A disclosure note reported that if
FIFO had been used instead of LIFO, inventory would have been higher by $2,500 million and $2,300 million at
the end of the August 31, 2015, and August 31, 2014, periods, respectively. Calculate cost of goods sold for the
year ended August 31, 2015, assuming Walgreens used FIFO instead of LIFO.
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