Required information Problem 5-1A Perpetual: Alternative cost flows LO P1 [The f
ID: 2399275 • Letter: R
Question
Required information
Problem 5-1A Perpetual: Alternative cost flows LO P1
[The following information applies to the questions displayed below.]
Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.
Problem 5-1A Part 3
3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, the March 9 sale consisted of 80 units from beginning inventory and 340 units from the March 5 purchase; the March 29 sale consisted of 40 units from the March 18 purchase and 120 units from the March 25 purchase.
Date Activities Units Acquired at Cost Units Sold at Retail Mar. 1 Beginning inventory 100 units @ $50.00 per unit Mar. 5 Purchase 400 units @ $55.00 per unit Mar. 9 Sales 420 units @ $85.00 per unit Mar. 18 Purchase 120 units @ $60.00 per unit Mar. 25 Purchase 200 units @ $62.00 per unit Mar. 29 Sales 160 units @ $95.00 per unit Totals 820 units 580 unitsExplanation / Answer
STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL FIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Mar 100 50 5000 5-Mar 400 55 22000 100 50 5000 400 55 22000 9-Mar 100 50 5000 320 55 17600 80 55 4400 18-Mar 120 60 7200 80 55 4400 120 60 7200 25-Mar 200 62 12400 80 55 4400 120 60 7200 200 62 12400 29-Mar 80 55 4400 40 60 2400 80 60 4800 200 62 12400 TOTAL 720 41600 580 31800 240 14800 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL LIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Mar 100 50 5000 5-Mar 400 55 22000 100 50 5000 400 55 22000 9-Mar 400 55 22000 20 50 1000 80 50 4000 18-Mar 120 60 7200 80 50 4000 120 60 7200 25-Mar 200 62 12400 80 50 4000 120 60 7200 200 62 12400 29-Mar 160 62 9920 80 50 4000 120 60 7200 40 62 2480 TOTAL 720 41600 580 32920 240 13680 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL WEIGHTED AVERAGE METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Mar 100 50 5000 5-Mar 400 55 22000 100 50 5000 400 55 22000 Average 500 54 27000 9-Mar 420 54 22680 80 54 4320 18-Mar 120 60 7200 80 54 4320 120 60 7200 25-Mar 200 62 12400 80 54 4320 120 60 7200 200 62 12400 Average 400 59.8 23920 29-Mar 160 59.8 9568 240 59.8 14352 TOTAL 720 41600 580 32248 240 59.8 14352 STATEMENT SHOWING INVENTORY RECORD UNDER PERIODIC SPECIFIC IDENTIFICATION METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Mar 100 50 5000 80 50 4000 20 50 1000 Purchasse 5-Mar 400 55 22000 340 55 18700 60 55 3300 18-Mar 120 60 7200 40 60 2400 80 60 4800 25-Mar 200 62 12400 120 62 7440 80 62 4960 TOTAL 820 46600 580 32540 240 14060 Ending Inventory FIFO 14800 LIFO 13680 Average 14352 Specific Identification 14060
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.