Question

The inventory data for an item for November are:

Nov. 1		Inventory	23 units at $24
4		Sold	8 units
10		Purchased	34 units at $20
17		Sold	19 units
30		Purchased	21 units at $25

Using a perpetual system, what is the cost of the goods sold for November if the company uses LIFO?

Answer 1

	Cost of Goods Sold
	Qty	Rate	Amt
4-Nov	8	$              24	$    192
17-Nov	19	$              20	$    380
Total	27		$    572

Working

		Inward	Outward	Balance
Date	Particulars	Qty	Rate	Amt	Qty	Rate	Amt	Qty	Rate	Amt
1-Nov	Balance							23	$     24	$    552
4-Nov	Sale				8	$    24	$ 192	15	$     24	$    360
10-Nov	Purchase	34	$    20	$ 680				15	$     24	$    360
								34	$     20	$    680
17-Nov	Sale				19	$    20	$ 380	15	$     24	$    360
								15	$     20	$    300
30-Nov	Purchase	21	$    25	$ 525				15	$     24	$    360
								15	$     20	$    300
								21	$     25	$    525