At the end of January 2014, the records of Donner Company showed the following f
ID: 2447001 • Letter: A
Question
At the end of January 2014, the records of Donner Company showed the following for a particular item that sold at $18.80 per unit:
Compute Cost of Goods Sold under each method of inventory: average cost, FIFO, LIFO, and specific identification. For specific identification, assume that the first sale was selected from the beginning inventory and the second sale was selected from the January 12 purchase. (Round unit price to 2 decimal places. Input all amounts as positive values.)
Average Cost
Cost of Goods Available for Sale
Cost of goods sold
# of units
Cost per unit
COG available for sale
# of units sold
Cost per unit
COGS
Beginning Inventory
Purchases
January 12
January 26
Total
FIFO
Cost of Goods Available for Sale
Cost of goods sold
# of units
Cost per unit
COG available for sale
# of units sold
Cost per unit
COGS
Beginning Inventory
Purchases
January 12
January 26
Total
LIFO
Cost of Goods Available for Sale
Cost of goods sold
# of units
Cost per unit
COG available for sale
# of units sold
Cost per unit
COGS
Beginning Inventory
Purchases
January 12
January 26
Total
Specific ID
Cost of Goods Available for Sale
Cost of goods sold
# of units
Cost per unit
COG available for sale
# of units sold
Cost per unit
COGS
Beginning Inventory
Purchases
January 12
January 26
Total
Prepare a partial income statement under each method of inventory: (a) average cost, (b) FIFO, (c) LIFO, and (d) specific identification. For specific identification, assume that the first sale was selected from the beginning inventory and the second sale was selected from the January 12 purchase.
A
B
C
D
Avg. Cost
FIFO
LIFO
Special ID
Sales Revenue
COGS
Gross profit
At the end of January 2014, the records of Donner Company showed the following for a particular item that sold at $18.80 per unit:
Explanation / Answer
Average cost
total 1630 $11285 770 5328.44
FIFO
140 @5.5
60 @7.5
LIFO
240@9.5
330 @7.5
special identifiaction method
No of units Cost per unit COG avialable No of units sold Cost per unit COGS Beginning 710 5.5 3905 570 6.92 $3944.44 Purchase june 12 680 7.5 5100 200 6.92 $1384 jan 26 240 9.5 2280Related Questions
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