Calvin Clients Limited reported the inventory and cost of goods sold using the LIFO valuation method...

Calvin Clients Limited reported the inventory and cost of goods sold using the LIFO valuation method (perpetual) . The following table shows the details of purchases and sales for the year 2010. Assume that in each month the purchases happen at the start of the month and sales happened at the end of the month.

Month	Units purchased	Units sold	Coat per unit	Price per unit
January	50	0	100	150
March	100	25	110	150
May	0	60	n/a	175
June	125	0	125	175
July	120	0	150	180
October	0	80	n/a	200
December	0	60	n/a	225

The cost of goods sold for the company is $

Solutions

Expert Solution

Under LIFO method,
Goods purchased last will be treated as sold first.

140 units are sold at the end of October and December, the COGS will be
computed from the units purchased in July and June respectively.

COGS of 140 units = (120150) + (20125)
= $18000 + $2500
= $20500

85 units are sold at the end of March and May, the COGS will be computed
from the units purchased in March beginning.

COGS of 85 units = 85*110
= $9350

Therefore,
Total COGS = $20500 + $9350
= $29850

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Calculate the cost of goods sold and the cost of the ending inventory using the LIFO...

Calculate the cost of goods sold and the cost of the ending inventory using the LIFO periodic cost flow assumption. Sales 97 units at $ 18 per unit Beginning inventory 88 units at $ 6 per unit Purchases 58 units at $ 10 per unit Calculate the cost of goods sold using the LIFO periodic cost flow assumption. Units x Cost per Unit = Total Cost Units from beginning inventory x = Units from purchase x = Cost of Goods...

Calculate cost of ending inventory and cost of goods sold using periodic FIFO, LIFO, and Weighted...

Calculate cost of ending inventory and cost of goods sold using periodic FIFO, LIFO, and Weighted Average Cost methods. Description # of units Cost per unit Beginning inventory: 20 20 Jan.15 Purchase: 22 27 Jan. 20 Sale 10 blank Jan.25 Purchase 18 25 Jan.28 Sale 15 blank

Calculate the cost of goods sold and the cost of ending inventory using the FIFO, LIFO, and average cost methods.

Inventory Costing Methods: Periodic Inventory Systems. (Appendix 6B)Tyler Company has the following information related to purchases and sales of one of its inventory items.DateDescriptionUnits Purchased at CostUnits Sold at RetailSept. 1Beginning inventory20 units @ $510Purchase30 units @ $820Sales40 units @ $1525Purchase25 units at $10Assume that the company uses the periodic inventory system.Required:Calculate the cost of goods sold and the cost of ending inventory using the FIFO, LIFO, and average cost methods. (Note: Use four decimal places for per-unit calculations and...

Compute the April cost of goods sold using moving average method, and LIFO method. Units Unit...

Compute the April cost of goods sold using moving average method, and LIFO method. Units Unit Cost Total Cost April 1 inventory 300 $35 $10,500 April 15 purchase 400 $40 $16,000 April 16 sales 205 April 23 purchase 200 $45 $9,000 April 24 sales 305

Using LIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.

Exercise 6-4A Calculate inventory amounts when costs are rising (LO6-3)During the year, TRC Corporation has the following inventory transactions.DateTransactionNumber of UnitsUnit CostTotal CostJan.1Beginning inventory52$44$2,288Apr.7Purchase132466,072Jul.16Purchase202499,898Oct.6Purchase112505,600498$23,858For the entire year, the company sells 432 units of inventory for $62 each.Exercise 6-4A Part 22. Using LIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and...

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and average cost. There are 36 units in ending inventory. (Do not round intermediate calculations, such as average cost per unit values. Round your answers to the nearest cent.) Date Units purchased Cost per unit Total cost January 1 43 $ 7.10 $ 305.30 April 1 38 6.35 241.30 June 1 53 6.10 323.30 September 1 48 6.60 316.80 Total 182 $ 1,186.70 Cost of...

How can i calculate Cost of goods sold and ending inventory using FIFO, LIFO and the...

How can i calculate Cost of goods sold and ending inventory using FIFO, LIFO and the periodic system given the information below? On December 1, 2017, Ivanhoe Company had the account balances shown below. Debits Credits Cash $5,180 Accumulated Depreciation—Equipment $1,460 Accounts Receivable 4,230 Accounts Payable 2,710 Inventory (2,900 x $0.60) 1,740 Common Stock 10,200 Equipment 21,400 Retained Earnings 18,180 $32,550 $32,550 The following transactions occurred during December. Dec. 3 Purchased 3,900 units of inventory on account at a cost...

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and...

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and average cost. There are 38 units in ending inventory. (Do not round intermediate calculations, such as average cost per unit values. Round your answers to the nearest cent.) Date Units purchased Cost per unit Total cost January 1 54 $ 7.50 $ 405.00 April 1 49 6.75 330.75 June 1 64 6.50 416.00 September 1 59 7.00 413.00 Total 226 $ 1,564.75. FIFO $...

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and...

Calculate cost of goods sold and ending inventory for Emergicare’s bandages orders using FIFO, LIFO and average cost. There are 33 units in ending inventory. (Do not round intermediate calculations, such as average cost per unit values. Round your answers to the nearest cent.) Date Units purchased Cost per unit Total cost January 1 41 $ 7.80 $ 319.80 April 1 36 7.05 253.80 June 1 51 6.80 346.80 September 1 46 7.30 335.80 Total 174 $ 1,256.20 Cost of...

Given the following data, calculate the cost of goods sold using the LIFO costing method assuming...

Given the following data, calculate the cost of goods sold using the LIFO costing method assuming that periodic inventory records are kept in dollars. Date Item Unit 1/1 Beginning inventory 5 units at $22 per unit 3/18 Purchase of inventory 11 units at $24 per unit 6/20 Purchase of inventory 9 units at $27 per unit 9/27 Purchase of inventory 28 units at $28 per unit 11/27 Purchase of inventory 28 units at $29 per unit 12/31 Ending inventory 18...

Subjects