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Brief Exercise 8-6 Whispering Company uses a periodic inventory system. For Apri

ID: 2398826 • Letter: B

Question

Brief Exercise 8-6

Whispering Company uses a periodic inventory system. For April, when the company sold 450 units, the following information is available.

Units

Unit Cost

Total Cost

April 1 inventory

330

$22

$ 7,260

April 15 purchase

380

26

9,880

April 23 purchase

290

29

8,410

1,000

$25,550


Compute the April 30 inventory and the April cost of goods sold using the LIFO method.

Ending inventory

$

Cost of goods sold

$

Units

Unit Cost

Total Cost

April 1 inventory

330

$22

$ 7,260

April 15 purchase

380

26

9,880

April 23 purchase

290

29

8,410

1,000

$25,550

Explanation / Answer

LIFO method ending inventory 1-Apr inventory 330 22 7260 15-Apr purchase 220 26 14300 total 550 21560 cost of goods sold 15-Apr purchase 160 22 3520 23-Apr purchase 290 29 8410 total 450 11930 ending inventory 21560 cost of goods sold 11930

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