Question 1
For the month ended October 31, 2012. Aylesworth uses a periodic method for inventory.
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Date
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Description
|
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Units
|
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Unit Cost or Selling Price
|
|
October 1
|
|
Beginning inventory
|
|
61
|
|
$23
|
|
October 9
|
|
Purchase
|
|
122
|
|
24
|
|
October 11
|
|
Sale
|
|
102
|
|
33
|
|
October 17
|
|
Purchase
|
|
71
|
|
25
|
|
October 22
|
|
Sale
|
|
61
|
|
38
|
|
October 25
|
|
Purchase
|
|
82
|
|
26
|
|
October 29
|
|
Sale
|
|
112
|
|
38
|
|
|
|
LIFO
|
|
FIFO
|
|
AVERAGE-COST
|
|
The ending inventory
|
|
$
|
|
$
|
|
$
|
|
The cost of goods sold
|
|
$
|
|
$
|
|
$
|
|
Gross profit
|
|
$
|
|
$
|
|
$
|
Question 2
Lu Company had a beginning inventory of 876 units of Product Ribo at a cost of $3 per unit. During the year, purchases were:
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Feb. 20
|
|
1,314
|
|
@
|
|
$7
|
|
Aug. 12
|
|
657
|
|
@
|
|
$13
|
|
May 5
|
|
1,095
|
|
@
|
|
$8
|
|
Dec. 8
|
|
438
|
|
@
|
|
$14
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Lu Company uses a periodic inventory system. Sales totaled 3,285 units.
Determine (1) the ending inventory, and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average).
Determine (1) the ending inventory, and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average).
|
|
|
FIFO
|
|
LIFO
|
|
averGE-COST
|
|
The ending inventory
|
|
$
14673
|
|
$
|
|
$
|
|
The cost of goods sold
|
|
$
20586
|
|
$
|
|
$
|