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Atlanta Metal began August with 45 units of iron inventory that cost $24 each. D

ID: 2391826 • Letter: A

Question


Atlanta Metal began August with 45 units of iron inventory that cost $24 each. During August the company completed the following inventory? transactions:?

Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. Prepare BOTH a FIFO and a LIFO document.

Requirement 1. Prepare ? perpetual inventory record for the merchandse nventory usng the FIFO nvetory costing method. hand at the end of th pericd. (Enler the aldcst inwarbory layars fiet) Inventory on Hand Unit Tobal Unit Total 1 Da:a Table Date Quantity Cost Cost Quantity Cost Cost Quantity Cost Cost Aug. 1 Aug. 3 Sao 36 21 Sale 30 Purthase 25 47 Print Dona Totas

Explanation / Answer

Solution:

1) FIFO:

Purchase

COGS

Inventory on hand

Date

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Aug-01

45

24

1080

45

24

1080

Aug-03

36

24

864

9

24

216

Aug-09

70

32

2240

9

24

216

70

32

2240

Aug-21

9

24

216

13

32

416

57

32

1824

Aug-30

26

47

1222

13

32

416

26

47

1222

TOTAL

141

4542

102

2904

1638

?

2) LIFO

Purchase

COGS

Inventory on hand

Date

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Aug-01

45

24

1080

45

24

1080

Aug-03

36

24

864

9

24

216

Aug-09

70

32

2240

9

24

216

70

32

2240

Aug-21

66

32

2112

9

24

216

4

32

128

Aug-30

26

47

1222

9

24

216

4

32

128

26

47

1222

TOTAL

141

4542

102

2976

185

1566

Purchase

COGS

Inventory on hand

Date

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Quantity

Unit cost

Total cost

Aug-01

45

24

1080

45

24

1080

Aug-03

36

24

864

9

24

216

Aug-09

70

32

2240

9

24

216

70

32

2240

Aug-21

9

24

216

13

32

416

57

32

1824

Aug-30

26

47

1222

13

32

416

26

47

1222

TOTAL

141

4542

102

2904

1638