31, 2016: of 150 70 (100) 90 140 (100) 50 (100) 26 $ 3,900 31 2,170 1/24Purchase

Question

31, 2016: of 150 70 (100) 90 140 (100) 50 (100) 26 $ 3,900 31 2,170 1/24Purchase 2/22 Sale 3/7 Purchase 4/10 Purchase 6/11 Sale 9/28 Purchase 12/4 Sale 3,600 5,460 37 1,50 a. Assume that Kuffel Co. uses a periodic inventory system. Calculate cost of goods sold and ending inventory under FIFO and LIFO Ending nventory b. Assume that Kuffel Co. uses a perpetual inventory system. Calculate cost of goods sold and ending inventory under FIFO and LIFO. Cost of goods sold Ending c. LIFO results are different for parts a and b as timing of the application of LIFO rules is relevant. True s eBook & Resources

Explanation / Answer

STATEMENT SHOWING INVENTORY RECORD UNDER PERIODIC FIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 150 26 3900 150 26 3900 Purchasse 24-Jan 70 31 2170 70 31 2170 7-Mar 90 40 3600 80 40 3200 10 40 400 11-Jun 140 39 5460 140 39 5460 28-Sep 50 37 1850 50 37 1850 TOTAL 500 16980 300 9270 200 7710 STATEMENT SHOWING INVENTORY RECORD UNDER PERIODIC LIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 150 26 3900 150 26 3900 Purchasse 24-Jan 70 31 2170 20 31 620 50 31 1550 7-Mar 90 40 3600 90 40 3600 10-Apr 140 39 5460 140 39 5460 28-Sep 50 37 1850 50 37 1850 TOTAL 500 16980 300 11530 200 5450 FIFO LIFO Cost of goods sold 9270 11530 ending inventory 7710 5450 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL FIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 150 26 3900 24-Jan 70 31 2170 150 26 3900 70 31 2170 22-Feb 100 26 2600 50 26 1300 70 31 2170 7-Mar 90 40 3600 50 26 1300 70 31 2170 90 40 3600 10-Apr 140 39 5460 50 26 1300 70 31 2170 90 40 3600 140 39 5460 11-Jun 50 26 1300 20 31 620 50 31 1550 90 40 3600 140 39 5460 28-Sep 50 37 1850 20 31 620 90 40 3600 140 39 5460 50 37 1850 4-Dec 20 31 620 10 40 400 80 40 3200 140 39 5460 50 37 1850 TOTAL 350 13080 300 9270 200 7710 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL LIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 150 26 3900 24-Jan 70 31 2170 150 26 3900 70 31 2170 22-Feb 70 31 2170 30 26 780 120 26 3120 7-Mar 90 40 3600 120 26 3120 90 40 3600 10-Apr 140 39 5460 120 26 3120 90 40 3600 140 39 5460 11-Jun 100 39 3900 120 26 3120 90 40 3600 40 39 1560 28-Sep 50 37 1850 120 26 3120 90 40 3600 40 39 1560 50 37 1850 4-Dec 50 37 1850 120 26 3120 40 39 1560 80 40 3200 10 40 400 TOTAL 350 13080 300 10660 200 6320 FIFO LIFO Cost of goods sold 9270 10660 Ending inventory 7710 6320 Req c: TRUE

Related Questions

Navigate

• Browse (All)
• Browse 3
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.