In: Accounting
Inventory records for Marvin Company revealed the
following:
Date | Transaction | Number of Units |
Unit Cost |
|||||
Mar. | 1 | Beginning inventory | 1,000 | $ | 7.26 | |||
Mar. | 10 | Purchase | 540 | 7.71 | ||||
Mar. | 16 | Purchase | 760 | 8.14 | ||||
Mar. | 23 | Purchase | 590 | 8.54 | ||||
Marvin sold 1,910 units of inventory during the month. Cost of
goods sold assuming FIFO would be:
FIFO |
Cost of Goods available for sale |
Cost of Goods Sold |
Ending Inventory |
||||||
Units |
Cost/unit |
COG for sale |
Units sold |
Cost/unit |
COGS |
Units |
Cost/unit |
Ending inventory |
|
Beginning Inventory |
1000 |
$ 7.26 |
$ 7,260.00 |
1000 |
$ 7.26 |
$ 7,260.00 |
0 |
$ 7.26 |
$ - |
Purchases: |
|||||||||
10-Mar |
540 |
$ 7.71 |
$ 4,163.40 |
540 |
$ 7.71 |
$ 4,163.40 |
0 |
$ 7.71 |
$ - |
16-Mar |
760 |
$ 8.14 |
$ 6,186.40 |
370 |
$ 8.14 |
$ 3,011.80 |
390 |
$ 8.14 |
$ 3,174.60 |
23-Mar |
590 |
$ 8.54 |
$ 5,038.60 |
0 |
$ 8.54 |
$ - |
590 |
$ 8.54 |
$ 5,038.60 |
TOTAL |
2890 |
$ 22,648.40 |
1910 |
$ 14,435.20 |
980 |
$ 8,213.20 |
Cost of Goods Sold = $ 14,435.20 or $ 14,435