Problem 6-6A (Part Level Submission) You are provided with the following informa

Question

Problem 6-6A (Part Level Submission)

You are provided with the following information for Barton Inc. Barton Inc. uses the periodic method of accounting for its inventory transactions.

Sold 5,290 liters for $1.33 per liter.

Calculate the value of ending inventory that would be reported on the balance sheet, under each of the following cost flow methods. (Round answers to 0 decimal places, e.g. 1250.)

LIFO

1. Specific indentification:___

2. FIFO:___

3. LIFO:___

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Prepare partial income statements through gross profit, under each of the following cost flow methods. (Round answers to 0 decimal places, e.g. 1250.)

March 1 Beginning inventory 1,945 liters at a cost of 62¢ per liter. March 3 Purchased 2,415 liters at a cost of 70¢ per liter. March 5 Sold 2,290 liters for $1.03 per liter. March 10 Purchased 4,050 liters at a cost of 78¢ per liter. March 20 Purchased 2,435 liters at a cost of 83¢ per liter. March 30

Sold 5,290 liters for $1.33 per liter.

Explanation / Answer

Calculation of value of ending inventory that would be reported on the balance sheet Specific identification method Date Purchases Cost of goods sold Inventory balance Liters Per Liter Total Liters Per Liter Total Liters Per Liter Total March.1 1945 $0.62 $1,205.90 March.3 2415 $0.70 $1,690.50 1945 $0.62 $1,205.90 2415 $0.70 $1,690.50 March.5 1000 $0.62 $620.00 945 $0.62 $585.90 1290 $0.70 $903.00 1125 $0.70 $787.50 March.10 4050 $0.78 $3,159.00 945 $0.62 $585.90 1125 $0.70 $787.50 4050 $0.78 $3,159.00 March.20 2435 $0.83 $2,021.05 945 $0.62 $585.90 1125 $0.70 $787.50 4050 $0.78 $3,159.00 2435 $0.83 $2,021.05 March.30 490 $0.62 $303.80 455 $0.62 $282.10 535 $0.70 $374.50 590 $0.70 $413.00 2860 $0.78 $2,230.80 1190 $0.78 $928.20 1405 $0.83 $1,166.15 1030 $0.83 $854.90 7580 $5,598.25 3265 $2,478.20 Value of ending Inventory under Specific Identification method = $2,478 Value of Cost of goods sold under Specific Identification method = $5,598 FIFO Date Purchases Cost of goods sold Inventory balance Liters Per Liter Total Liters Per Liter Total Liters Per Liter Total March.1 1945 $0.62 $1,205.90 March.3 2415 $0.70 $1,690.50 1945 $0.62 $1,205.90 2415 $0.70 $1,690.50 March.5 1945 $0.62 $1,205.90 345 $0.70 $241.50 2070 $0.70 $1,449.00 March.10 4050 $0.78 $3,159.00 2070 $0.70 $1,449.00 4050 $0.78 $3,159.00 March.20 2435 $0.83 $2,021.05 2070 $0.70 $1,449.00 4050 $0.78 $3,159.00 2435 $0.83 $2,021.05 March.30 2070 $0.70 $1,449.00 3220 $0.78 $2,511.60 830 $0.78 $647.40 2435 $0.83 $2,021.05 7580 $5,408.00 3265 $2,668.45 Value of ending Inventory under FIFO method = $2,668 Value of Cost of goods sold under FIFO method = $5,408 LIFO Date Purchases Cost of goods sold Inventory balance Liters Per Liter Total Liters Per Liter Total Liters Per Liter Total March.1 1945 $0.62 $1,205.90 March.3 2415 $0.70 $1,690.50 1945 $0.62 $1,205.90 2415 $0.70 $1,690.50 March.5 2290 $0.70 $1,603.00 1945 $0.62 $1,205.90 125 $0.70 $87.50 March.10 4050 $0.78 $3,159.00 1945 $0.62 $1,205.90 125 $0.70 $87.50 4050 $0.78 $3,159.00 March.20 2435 $0.83 $2,021.05 1945 $0.62 $1,205.90 125 $0.70 $87.50 4050 $0.78 $3,159.00 2435 $0.83 $2,021.05 March.30 2435 $0.83 $2,021.05 1945 $0.62 $1,205.90 2855 $0.78 $2,226.90 125 $0.70 $87.50 1195 $0.78 $932.10 7580 $5,850.95 3265 $2,225.50 Value of ending Inventory under LIFO method = $2,226 Value of Cost of goods sold under LIFO method = $5,851 Preparation of partial income statements through groww profit under each methdo Specific Identification method FIFO LIFO Sales $9,394 $9,394 $9,394 Less:Cost of goods sold $5,598 $5,408 $5,851 Gross Profit $3,796 $3,986 $3,543

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