LIFO Perpetual Inventory The beginning inventory of merchandise t Dunne Co. and
ID: 2543614 • Letter: L
Question
LIFO Perpetual Inventory The beginning inventory of merchandise t Dunne Co. and data on purchases and sales for three-month period endng June 30 res follows: Number of Units DotcTransaction Per Unit Total Apr. 3 nventory 72 300 21,600 51,840 95 1,000 56,0c0 60 1,000 60,000 48,000 72 1,000 72,000 35 1,D0036,000 440 52,800 2 1,050 75,600 95 1,050 1CO,80O 480 103,680 109 1,050113,40O 8 Purchase 11 Sale 30 Sale May 8 Purchase 10 Sal 120 400 28 Purchasc 120 June S Sale 16 Sale 21 Purchase 28 Salo 216 1. Record the inventory purchases, and cost of merchandise sold data in a perpetual i va tory record similar to the ona i ustrated in Exhibit 4 Merchandisc Sold Unit Cost calumn and LOWER unit cost first in the Inventory Unit Cost column. sin the last in, first-out method. Under F if units ara in inventory at t o different costs enter the units it the HIGHER unit cost first in the cost of Schedule of Cost LIFO Method Cost of Merchandise Sold Unit Cost Inventory Unit Cost Dat Quantity Unit Cost Total Cost Quantity Total Cost Quantity Total Cost 30021,600 30021,600 51,840 72 Apr. 8 144 360 51,840 144 360 Apr. 30Explanation / Answer
1.
Perpetual inventory system: LIFO
72 units * $300 = $21600
144 units * $360 = $51840
72 units * $300 = $21600
48 units * $360 = $17280
48 units * $360 = $17280
12 units * $300 = $3600
60 units * $300 = $18000
120 units * $400 = $48000
60 units * $300 = $18000
48 units * $400 = $19200
60 units * $300 = $18000
12 units * $400 = $4800
60 units * $300 = $18000
12 units * $400 = $4800
120 units * $440 = $52800
60 units * $300 = $18000
12 units * $400 = $4800
48 units * $440 = $21120
48 units * $440 = $21120
12 units * $400 = 4800
36 units * $300 = $10800
24 units * $300 = $7200
216 units * $480 = $103680
24 units * $300 = $7200
108 units * $480 = $51840
2.
Sales $553800
Cost of goods sold ($218880)
Gross margin $334920
3.
Ending inventory on june 30 is $59040.
Date Cost of goods available or sale Cost of goods sold Ending inventory Apr 3 72 units * $300 = $21600 72 units * $300 = $21600 8 144 units * $360 = $5184072 units * $300 = $21600
144 units * $360 = $51840
11 96 units * $360 = $3456072 units * $300 = $21600
48 units * $360 = $17280
3048 units * $360 = $17280
12 units * $300 = $3600
60 units * $300 = $18000 May 8 120 units * $400 = $4800060 units * $300 = $18000
120 units * $400 = $48000
10 72 units * $400 = $2880060 units * $300 = $18000
48 units * $400 = $19200
19 36 units * $400 = $1440060 units * $300 = $18000
12 units * $400 = $4800
28 120 units * $440 = $5280060 units * $300 = $18000
12 units * $400 = $4800
120 units * $440 = $52800
June 5 72 units * $440 = $3168060 units * $300 = $18000
12 units * $400 = $4800
48 units * $440 = $21120
1648 units * $440 = $21120
12 units * $400 = 4800
36 units * $300 = $10800
24 units * $300 = $7200 21 216 units * $480 = $10368024 units * $300 = $7200
216 units * $480 = $103680
28 108 units * $480 = $5184024 units * $300 = $7200
108 units * $480 = $51840
Cost of goods sold = $218880 Ending inventory = $59040Related Questions
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