PR 7-5A Periodic inventory by three methods Dymac Appliances uses the periodic i

Question

PR 7-5A Periodic inventory by three methods Dymac Appliances uses the periodic inventory system. Details regarding the appliances at November 1, 2015, purchases invoices during the next 12 D inventory count at October 31, 2016, are summarized as follows OB).2 700 inventory of and Purchases Invoices Inventory, November 1 nventory Count October 31 2nd 3rd 1st Model A10 B15 E60 G83 J34 M90 Q70 4 at $ 64 4at$ 70 4 at $ 76 4 at 158 3 at 170 6 at 184 3 at 75 3at 65 15 at 68 9at 70 7 at 242 6 at 250 5 at 260 10 at 259 12 at 240 10 at 246 16at 267 16 at 270 2 at 1082 at 110 3 at 128 3at 130 5 at 160 4 at 170 4 at 175 7 at 180 8 8 at $176 15 Instructions 1. Determine the cost of the inventory on October 31, 2016, by the first-in, first-ou method. Present data in columnar form, using the following headings: Model Quantity Unit CostTotal Cost If the inventory of a particular model comprises one entire purchase plus a portion of another purchase acquired at a different unit cost, use a separate line for each purchase. 2. Determine the cost of the inventory on October 31, 2016, by the last-in, first-out 3. Determine the cost of the inventory on October 31, 2016, by the weighted averag Discuss which method (FIFO or LIFO) would be preferred for income a method, following the procedures indicated in (1). cost method, using the columnar headings indicated in (1). purposes in periods of (a) rising prices and (b) declining prices.

Explanation / Answer

Using FIFO Method Model Qty Unit Cost Total Cost A10 2 70 140 4 76 304 444 B15 2 170 340 6 184 1104 1444 E63 5 70 350 G83 9 259 2331 J34 15 270 4050 M90 2 128 256 3 130 390 646 Q70 1 175 175 7 180 1260 1435 Using LIFO Method Model Qty Unit Cost Total Cost A10 2 70 140 4 64 256 396 B15 8 176 1408 E63 2 65 130 3 75 350 480 G83 2 250 500 7 242 1694 2194 J34 3 246 738 12 240 2880 3618 M90 1 128 128 2 110 220 2 108 216 564 Q70 3 170 510 5 160 800 1310 3. Using Weighted Avg Method Model Qty Unit Cost Total Cost Total Cost QTY P.U. A10 6 70 420 840 12 70 B15 8 174 1392 3654 21 174 E63 5 69 345 2070 30 69 G83 9 253 2277 7084 28 253 J34 15 258 3870 13932 54 258 M90 5 121 605 1210 10 121 Q70 8 172 1376 3440 20 172

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---

---

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