Question

The Cog Company sells many products. Tog is one of its popular items. Below is an analysis of the inventory purchases and sales of Tog for the month of March:

3/1   Beginning inventory 80 units at $10

3/5    Sold 40 units at $15

3/10 Purchased 120 units at $11

3/15 Sold 90 units at $15

3/20 Purchased 100 units at $12

3/25 Sold 80 units at $15

Part 1 - Provide the following assuming Cog Company uses a perpetual inventory system.

FIFO – perpetual

1) Ending Inventory $

2) Cost of Goods Sold $   

3) Gross Profit $

LIFO – perpetual

4) Ending Inventory  $

5) Cost of Goods Sold $  

6) Gross Profit $

Moving Average – perpetual

7) Ending Inventory $

8) Cost of Goods Sold $

9) Gross Profit $

Part 2 - Now, provide the following assuming Cog Company uses a periodic inventory system.

FIFO - periodic – 10) Ending Inventory $

LIFO – periodic 11) Ending Inventory $  

Weighted Average - periodic 12) Ending Inventory $  

Answer 1

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Due to character limit I am attaching the images for solution of Perpetual FIFO, LIFO and weighted average.

Part 1	FIFO	LIFO	Weighted
Sales	3,150.00	3,150.00	3,150.00
Cost of Goods sold	2,240.00	2,350.00	2,286.32
Gross Profit	910.00	800.00	863.68
Ending Inventory	1,080.00	970.00	1,033.68
Periodic FIFO	No. of Units	Cost per unit	Total
Beginning Inventory	80.00	10.00	800.00
Purchased on Mar 10	120.00	11.00	1,320.00
Purchased on Mar 20	100.00	12.00	1,200.00
Goods available for sale	300.00		3,320.00
Cost of Goods sold
From Beginning Inventory	80.00	10.00	800.00
From Purchases on Mar 3	120.00	11.00	1,320.00
From Purchases on Mar 20	10.00	12.00	120.00
Total Cost of Goods sold	210.00		2,240.00
Ending Inventory	90.00		1,080.00
Periodic LIFO	No. of Units	Cost per unit	Total
Beginning Inventory	80.00	10.00	800.00
Purchased on Mar 10	120.00	11.00	1,320.00
Purchased on Mar 20	100.00	12.00	1,200.00
Goods available for sale	300.00		3,320.00
Cost of Goods sold
From units Purchased on Mar 20	100.00	12.00	1,200.00
From units Purchased on Mar 3	110.00	11.00	1,210.00
Total Cost of Goods sold	210.00		2,410.00
Ending Inventory	90.00		910.00
Periodic Weighted	No. of Units	Cost per unit	Total
Beginning Inventory	80.00	10.00	800.00
Purchased on Mar 10	120.00	11.00	1,320.00
Purchased on Mar 20	100.00	12.00	1,200.00
Goods available for sale	300.00	11.07	3,320.00
Cost of Goods sold	210.00		2,324.00
Ending Inventory	90.00		996.00
Part 2	FIFO	LIFO	Weighted
Sales	3,150.00	3,150.00	3,150.00
Cost of Goods sold	2,240.00	2,410.00	2,324.00
Gross Profit	910.00	740.00	826.00
Ending Inventory	1,080.00	910.00	996.00