The units of an item available for sale during the year were as follows:Jan. 1 Inventory 1,000 units at $120Feb. 17 Purchase 1,375 units at $128July 21 Purchase 1,500 units at $136Nov. 23 Purchase 1,125 units at $140There are 1,200 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost by (a) the first-in, first-out method; (b) the last-in, first-out method; and (c) the weighted average cost method.
The units of an item available for sale during the year were as follows:
Jan. 1 Inventory 1,000 units at $120
Feb. 17 Purchase 1,375 units at $128
July 21 Purchase 1,500 units at $136
Nov. 23 Purchase 1,125 units at $140
There are 1,200 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost by (a) the first-in, first-out method; (b) the last-in, first-out method; and (c) the weighted average cost method.
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