Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales data for portable DVD players are as follows: Apr. 1 Inventory 36 units @ $45 10 Sale 30 units 15 Purchase 17 units @ $47 20 Sale 12 units 24 Sale 8 units 30 Purchase 40 units @ $49 The business maintains a perpetual inventory system, costing by the first-in, first-out method. Determine the cost of the merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3. a. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Merchandise Sold Unit Cost column and in the Inventory Unit Cost column. Cost of the Merchandise Sold Schedule First-in, First-out Method Portable DVD Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold Cost of Merchandise Sold Unit Cost Cost of Merchandise Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Apr. 1 $ $ Apr. 10 $ $ Apr. 15 $ $ Apr. 20 Apr. 24 Apr. 30 Apr. 30 Balances $ $ b. Based upon the preceding data, would you expect the inventory to be higher or lower using the last-in, first-out method?
Perpetual Inventory Using FIFO
Beginning inventory, purchases, and sales data for portable DVD players are as follows:
Apr. 1 Inventory 36 units @ $45 10 Sale 30 units 15 Purchase 17 units @ $47 20 Sale 12 units 24 Sale 8 units 30 Purchase 40 units @ $49
The business maintains a perpetual inventory system, costing by the first-in, first-out method.
Determine the cost of the merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3.
a. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Merchandise Sold Unit Cost column and in the Inventory Unit Cost column.
Cost of the Merchandise Sold Schedule First-in, First-out Method Portable DVD Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold Cost of Merchandise Sold Unit Cost Cost of Merchandise Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Apr. 1 $ $ Apr. 10 $ $ Apr. 15 $ $ Apr. 20 Apr. 24 Apr. 30 Apr. 30 Balances $ $
b. Based upon the preceding data, would you expect the inventory to be higher or lower using the last-in, first-out method?
Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales data for portable DVD players are as follows: Apr. 1 Inventory 36 units @ $45 10 Sale 30 units 15 Purchase 17 units @ $47 20 Sale 12 units 24 Sale 8 units 30 Purchase 40 units @ $49 The business maintains a perpetual inventory system, costing by the first-in, first-out method. Determine the cost of the merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3. a. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Merchandise Sold Unit Cost column and in the Inventory Unit Cost column. Cost of the Merchandise Sold Schedule First-in, First-out Method Portable DVD Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold Cost of Merchandise Sold Unit Cost Cost of Merchandise Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Apr. 1 $ $ Apr. 10 $ $ Apr. 15 $ $ Apr. 20 Apr. 24 Apr. 30 Apr. 30 Balances $ $ b. Based upon the preceding data, would you expect the inventory to be higher or lower using the last-in, first-out method?
Perpetual Inventory Using FIFO
Beginning inventory, purchases, and sales data for portable DVD players are as follows:
| Apr. 1 | Inventory | 36 units @ $45 | |
| 10 | Sale | 30 units | |
| 15 | Purchase | 17 units @ $47 | |
| 20 | Sale | 12 units | |
| 24 | Sale | 8 units | |
| 30 | Purchase | 40 units @ $49 |
The business maintains a perpetual inventory system, costing by the first-in, first-out method.
Determine the cost of the merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3.
a. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Merchandise Sold Unit Cost column and in the Inventory Unit Cost column.
| Cost of the Merchandise Sold Schedule | |||||||||
| First-in, First-out Method | |||||||||
| Portable DVD Players | |||||||||
| Date | Quantity Purchased | Purchases Unit Cost | Purchases Total Cost | Quantity Sold | Cost of Merchandise Sold Unit Cost | Cost of Merchandise Sold Total Cost | Inventory Quantity | Inventory Unit Cost | Inventory Total Cost |
| Apr. 1 | $ | $ | |||||||
| Apr. 10 | $ | $ | |||||||
| Apr. 15 | $ | $ | |||||||
| Apr. 20 | |||||||||
| Apr. 24 | |||||||||
| Apr. 30 | |||||||||
| Apr. 30 | Balances | $ | $ | ||||||
b. Based upon the preceding data, would you expect the inventory to be higher or lower using the last-in, first-out method?
Related questions
Beginning inventory, purchases, and sales data for portable DVDplayers are as follows:
april 1 inventory 120 units at $39
6 sale 90 units
14 purchase 140 units at $40
19 sale 110 units
25 sale 45 units
30 purchase 160 units $ 43
a. Determine the cost of the merchandise soldfor each sale and the inventory balance after each sale, presentingthe data in the form illustrated in Exhibit 3. If units are ininventory at two different costs, enter the OLDEST units first.
| ||||||||||||||||||||||||||||
| ||||||||||||||||||||||||||||
| ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
|
|
|
| |||||||||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
|
|
|
|
|
| ||||||||||||||||||||||
|
|
| ||||||||||||||||||||||||||
|
|
|
| |||||||||||||||||||||||||
Perpetual Inventory Using LIFO
The following units of a particular item were available for sale during the calendar year:
| Jan. 1 | Inventory | 4,000 units at $20 |
| Apr. 19 | Sale | 2,500 units |
| June 30 | Purchase | 6,000 units at $24 |
| Sept. 2 | Sale | 4,500 units |
| Nov. 15 | Purchase | 1,000 units at $25 |
The firm maintains a perpetual inventory system. Determine the cost of merchandise sold for each sale and the inventory balance after each sale, assuming the last-in, first-out method. Present the data in the form illustrated in Exhibit 5. Under LIFO, if units are in inventory at two or more different costs, enter the units with the LOWER unit cost first in the Inventory Unit Cost column.
| Schedule of Cost of Merchandise Sold LIFO Method | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Purchases | Cost of Merchandise Sold | Inventory | |||||||
| Date | Quantity | Unit Cost | Total Cost | Quantity | Unit Cost | Total Cost | Quantity | Unit Cost | Total Cost |
| Jan. 1 | $ | $ | |||||||
| Apr. 19 | $ | $ | |||||||
| June 30 | $ | $ | |||||||
| Sept. 2 | |||||||||
| Nov. 15 | |||||||||
| Dec. 31 | Balances | $ | $ | ||||||
