The following units of an item were available for sale during the year: Beginning inventory 45 units at $44 Sale 25 units at $68 First purchase 40 units at $46 Sale 48 units at $69 Second purchase 29 units at $48 Sale 6 units at $71 The firm uses the perpetual inventory system, and there are 35 units of the item on hand at the end of the year. a.  What is the total cost of the ending inventory according to FIFO?$ b.  What is the total cost of the ending inventory according to LIFO?$

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: Inventory refers to the goods or items which are stored by the business either for selling or for…

Q: The following units of an inventory item were available for sale during the year: Beginning…

A: FIFO (First-in First Out): Under FIFO inventory accounting, units purchased first are the units to…

Q: The following units of a particular item were available for sale during the calendar year: Jan. 1…

A: Last in first out means that cost of goods sold consist of latest purchase and closing stock consist…

Q: The following units of an item were available for sale during the year: Beginning inventory 44…

A: FIFO: FIFO stands for First-In, First-Out.  In this method inventory purchased first will be sell…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 11…

A: Here in this question, we are required to calculate ending inventory value under periodic FIFO…

Q: The following lots of a particular commodity were available for sale during the year Beginning…

A: Introduction: LIFO: LIFO stands for Last in First out which means last received inventory to be sold…

Q: Cost of goods Sold

A: Jan 1 400 $7.00 $2800   Feb 15 1000 $7.50 $7500   June 30 1400 $8.00 $11200   Nov 25 1200…

Q: An entity uses the periodic inventory system. Beginning inventory listed 20,000 units at P6.10 each.…

A: >Inventory account is recorded and updated using the following Cost flow assumptions. #1:…

Q: FIFO and LIFO costs under perpetual inventory system The following units of an item were available…

A: A perpetual inventory system is a method of tracking and recording inventory transactions in…

Q: Co. C has the following units of beginning inventory and purchases for the year: beginning inventory…

A: Under FIFO method, units which are purchased first are sold first .  Under FIFO method , ending…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 7…

A: In case of LIFO units sold are from purchases made recently, therefore units in ending inventory…

Q: A company reports the following beginning inventory and purchases, and it ends the period with 30…

A: Inventory is valued at the end of the financial statement. There are many methods to value the…

Q: he following units of an inventory item were available for sale during the year: Beginning…

A: FIFO: FIFO stands for first in first out. Under this system, inventory which are purchased first…

Q: Sales during the year were 980 units. Beginning Inventory was 320 units at a cost of $3 per unit.…

A: The question is based on the concept of Cost Accounting. The valuation of the inventory and cost of…

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: INVENTORY VALUATION Inventory Valuation is a Method of Calculation of Value of Inventory at the…

Q: a. What is the total cost of the ending inventory according to FIFO? b. What is the total cost of…

A: Ending inventory is computed by adding the beginning inventory and purchases and then subtracting…

Q: The following units of an inventory item were available for sale during the year: Unit Unit Cost…

A: The average cost per unit is computed as total cost of goods available for sale divided by number of…

Q: Sales during the year were 500 units. Beginning inventory was 400 units at a cost of $6 per unit.…

A: Under the FIFO method, the oldest products in inventory are sold first.Under the LIFO method, the…

Q: FIFO and LIFO costs under perpetual inventory system The following units of an item were available…

A: Inventory includes all the items, merchandise, and raw materials that are used by the business…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 7…

A: FIFO: FIFO stands for First-In, First-Out.  In this method inventory purchased first will be sell…

Q: a. What is the total cost of the ending inventory according to FIFO? 1,496,400 b. What is the total…

A: Inventory is recorded on the balance sheet and thus, it is required to determine the value of…

Q: The following units of a particular item were available for sale during the calendar year: Jan. 1…

A: The first-in, first-out (FIFO) strategy for stock valuation is a cost stream supposition that the…

Q: Brill Company reported the following year-end amounts: Beginning Inventory $7,650 Net Cost of…

A: Formula: Ending Inventory = Beginning Inventory + Net purchases - Cost of goods sold

Q: Addison, Inc. uses a perpetual inventory system. Information regarding one inventory item for the…

A: INVENTORY VALUATIONInventory Valuation is a Method of Calculation of Value of Inventory at the End…

Q: The following units of an inventory item were available for sale during the year: Beginning…

A: LIFO = Last In First Out Under the LIFO method, the latest purchases are sold first and the initial…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 8…

A: Periodic inventory system: The method or system of recording the transactions related to inventory…

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: First-in First-Out Method - Under the First-in First-Out Method company uses inventory in the…

Q: The following units of an inventory item were available for sale during the year: Beginning…

A: Total units are 68  Out of which units sold are 50 given  Hence 18 are closing inventory  LIFO…

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: FIFO method is one of the methods of inventory valuation in which it is assumed that old purchases…

Q: Use the information below to answer the following question. The following units of an inventory item…

A: Weighted Average: Under the weighted average method, a weighted average cost is calculated and the…

Q: Indigo Ltd., which uses a perpetual inventory system, recorded the following inventory transactions…

A: Under FIFO method using periodic inventory system, Value of ending inventory is calculated on the…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 12…

A: There are 3 types of methods for inventory valuation: a.FIFO b. LIFO c. Weighted average a. FIFO: In…

Q: Gavin Products uses a perpetual inventory system. For Year 1 and Year 2, Gavin has the following…

A: Solution:-The task requires you to calculate Gavin Products' gross profit ratio and inventory…

Q: Ayayai Ltd., which uses a perpetual inventory system, recorded the following inventory transactions…

A: Under FIFO method using perpetual inventory system, Value of ending inventory and cost of goods sold…

Q: FIFO and LIFO costs under perpetual Inventory system The following units of an item were available…

A: FIFO method is one of the methods of inventory valuation in which it is assumed that old purchases…

Q: The following lots of a particular commodity were available for sale during the year Beginning…

A: Using LIFO method, the units purchased at last are sold first and older inventory is left in the…

Q: You have the following information for Bramble Inc for the month ended October 31, 2022. Bramble…

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold on the…

Q: Company H had the following information for the year:   Beginning inventory: $20,000 Purchases:…

A: To calculate the cost of goods sold using the periodic inventory system, we need to determine the…

Q: Beginning inventory 12 units at $47.00 First purchase 19 units at $55.00 Second purchase 52 units at…

A: Solution: amount of inventory at the end of the year using LIFO = 12 units from beginning inventory…

Q: The following units of an item were available for sale during the year: Line Item Description Units…

A: FIFO : It stands for First -In-First -Out. It is a method of inventory valuation where materials are…

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: First-in First-Out Method - Under the First-in First-Out Method company uses inventory in the…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 7…

A: Under the LIFO method, the cost of the goods sold includes the latest purchases the ending inventory…

Q: FIFO and LIFO costs under perpetual inventory system The following units of an item were available…

A: The inventory can be valued using various methods as FIFO, LIFO and average method. The ending…

Q: You have the following information for Bramble Inc. for the month ended October 31, 2022. Bramble…

A: Step 1:Computation of the total cost available for sale: Step 2:Computation of the total sales: Step…

Q: FIFO and LIFO Costs Under Perpetual Inventory System The following units of an item were available…

A: FIFO method is one of the methods of inventory valuation in which it is assumed that old purchases…

Q: The following lots of Commodity Z were available for sale during the year. Beginning inventory 7…

A: Given,

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.