Assignment: Cost of Ending Inventory
During April, Leary Company sold 1,000 units of Product Q. Product Q's beginning inventory and purchases during the month are shown below. (Assume the periodic inventory system is used.)
Assignment Template
|
April 1
|
Beginning inventory
|
200 units @ $1
|
|
April 5
|
Purchases
|
200 units @ $2
|
|
April 10
|
Purchases
|
200 units @ $3
|
|
April 15
|
Purchases
|
200 units @ $4
|
|
April 20
|
Purchases
|
200 units @ $5
|
|
April 25
|
Purchases
|
200 units @ $6
|
Required:
1. Compute the cost of goods sold in both units, and cost and compute the number of units in the ending inventory.
2. Compute the cost of the ending inventory under average cost.
3. Compute the cost of the ending inventory under LIFO.
4. Compute the cost of the ending inventory under FIFO.
5. Explain how you calculated each answer and include your explanations in the Excel worksheet that you submit.
Instructions:
Complete this assignment using the Excel spreadsheet template, and date and explain each entry on your deliverable.