The records at the end of January 2012 for Captain Company showed the following for a particular kind of merchandise: Inventory, December 31, 2011, at FIFO: 17 Units @ $18= $306 Inventory, December 31, 2011, at LIFO: 17 Units @ $14 = $238 Transactions Purchase, January 9, 2012 Purchase, January 20, 2012 Sale, January 21, 2012 (at $39 per unit) Sale, January 27, 2012 (at $40 per unit) Units 28 54 39 26 Unit Cost $16 21 Total Cost $448 1,134 Required: 1. Compute the inventory turnover ratio under the FIFO and LIFO inventory costing methods. (Do not round intermediate calculations and round your final answers to 2 decimal places.)

The records at the end of January 2012 for Captain Company showed the following for a particular kind of merchandise: Inventory, December 31, 2011, at FIFO: 17 Units @ $18= $306 Inventory, December 31, 2011, at LIFO: 17 Units @ $14 = $238 Transactions Purchase, January 9, 2012 Purchase, January 20, 2012 Sale, January 21, 2012 (at $39 per unit) Sale, January 27, 2012 (at $40 per unit) Units 28 54 39 26 Unit Cost $16 21 Total Cost $448 1,134 Required: 1. Compute the inventory turnover ratio under the FIFO and LIFO inventory costing methods. (Do not round intermediate calculations and round your final answers to 2 decimal places.)

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter7: Inventories

Section: Chapter Questions

Problem 7PA: Selected data on merchandise inventory, purchases, and sales for Celebrity Tan Co. and Ranchworks...

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