Gladstone Company uses a periodic inventory system. At the end of the annual acc

Question

Gladstone Company uses a periodic inventory system. At the end of the annual accounting period, December 31, 2009, the accounting records for the most popular item in inventory showed the following: Transactions Units Unit Cost Beginning inventory, January 1, 2009 2,000 $ 6.00 Transactions during 2009: a. Purchase, January 30 2,000 9.00 b. Sale, March 14 ($12 each) (1,400 ) c. Purchase, May 1 1,000 10.00 d. Sale, August 31 ($10 each) (1,500 ) Compute the amount of goods available for sale, ending inventory, and cost of goods sold at December 31, 2009, under each of the following inventory costing methods. For Specific Identification, assume that the March 14, 2009, sale was selected two-fifths from the beginning inventory and three-fifths from the purchase of January 30, 2009. And that the sale of August 31, 2009, was selected from the remainder of the beginning inventory, with the balance from the purchase of May 1, 2009. (Do not round Weighted average cost per unit. Round your final answers to the nearest dollar amount. Omit the "$" sign in your response.) How to calculate Specific identification for ending inventory and cost of goods sold??? Goods avail for sale Ending Inventory Cost of goods sold d. Specific identification. $40000 $ $

Explanation / Answer

Here is what I solved before, please modify the figures as per your question. Please let me know if you have further questions. Ifthis helps then kindly rate 5-stars.

Background Information:

Transactions Units Unit Cost
Beginning inventory, January 1, 2009 1,800 $5.00
Transactions during 2009:
a. Purchase, January 30 2,500 6.20
b. Sale, March 14 ($10 each) (1,450 )
c. Purchase, May 1 1,200 8.00
d. Sale, August 31 ($10 each) (1,900 )

Problem:
Compute the amount of goods available for sale, ending inventory, and cost of goods sold at December 31, 2009, under each of the following inventory costing methods. For Specific Identification, assume that the March 14, 2009, sale was selected two-fifths from the beginning inventory and three-fifths from the purchase of January 30, 2009. And that the sale of August 31, 2009, was selected from the remainder of the beginning inventory, with the balance from the purchase of May 1, 2009. (Do not round Weighted average cost per unit. Round your final answers to the nearest dollar amount.)

Goods available for sale Ending inventory Cost of goods sold
a. Last-in, first-out. $34,100 $11,170 $22,930
b. Weighted average cost. $34,100 $13,330 $20,770
c. First-in, first-out. $34,100 $15,490 $18,610
d. Specific identification. $34,100 ? ?

Definition:

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