Question

Calculate the ending inventory if the company uses LIFO method

March		1		Beginning inventory 1,950 liters at a cost of 60¢ per liter.
March		3		Purchased 2,475 liters at a cost of 65¢ per liter.
March		5		Sold 2,320 liters for $1.10 per liter.
March		10		Purchased 3,820 liters at a cost of 72¢ per liter.
March		20		Purchased 2,580 liters at a cost of 80¢ per liter.
March		30		Sold 5,160 liters for $1.25 per liter.

I got

03/05 COGS -> 2320(.65)= $ 1508

03/30 COGS -> 2580(0.80)+2580(0.72)= $ 3921.6

TOTAL COGS= $ 5429.6

ENDING INVENTORY= 7593.15-5429.6= $ 2163.55

WHY IS THIS WRONG?

Answer 1

LIFO
	Opening Inventory	Purchase	Sales	Cost of Goods sols	Closing Inventory
Date	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost
MARCH .1	1,950	0.60	1,170			-			-				1,950	0.60	1,170
MARCH .3	1,950	0.60	1,170	2,475	0.65	1,609			-				1,950	0.60	1,170
													2,475	0.65	1,609
MARCH .5	1,950	0.60	1,170				2,320	1.1	2,552	2,320	0.65	1,508	1,950	0.60	1,170
	2,475	0.65	1,609										155	0.65	101
MARCH .10	1,950	0.60	1,170	3,820	0.72	2,750							1,950	0.60	1,170
	155	0.65	101										155	0.65	101
													3,820	0.72	2,750
MARCH .20	1,950	0.60	1,170	2,580	0.80	2,064							1,950	0.60	1,170
	155	0.65	101										155	0.65	101
	3,820	0.72	2,750										3,820	0.72	2,750
													2,580	0.80	2,064
MARCH .30	1,950	0.60	1,170	ekkarill92 Next > < Previous Related Solutions F8i-G2 Company uses the LIFO inventory costing method. The company had a beginning inventory of 1,840... F8i-G2 Company uses the LIFO inventory costing method. The company had a beginning inventory of 1,840 units that cost $13.40 each. Purchases were made throughout the most recent year as follows: March: 2,100 units purchased at $15.80 per unit June: 900 units purchased at $12.30 per unit August: 1,400 units purchased at $16.65 per unit October: 800 units purchased at $14.70 per unit During the most recent year, 4,800 units were sold to customers at a selling price of $21.00... F8i-G2 Company uses the LIFO inventory costing method. The company had a beginning inventory of 1,840... F8i-G2 Company uses the LIFO inventory costing method. The company had a beginning inventory of 1,840 units that cost $13.20 each. Purchases were made throughout the most recent year as follows: March: 2,100 units purchased at $15.60 per unit June: 900 units purchased at $12.10 per unit August: 1,400 units purchased at $16.35 per unit October: 800 units purchased at $14.40 per unit During the most recent year, 4,800 units were sold to customers at a selling price of $21.00... Umbrella Corp uses LIFO method to report inventory. Inventory at the beginning of the year consisted... Umbrella Corp uses LIFO method to report inventory. Inventory at the beginning of the year consisted of 10,000 units of the company's one product for $15 each. During the year: 60,000 units were purchased at the cost of $18 each. 64,000 units were sold. Near the end of the fiscal year, management is considering purchasing an additional 5,000 units at $18. What would the effect of this purchase be on income before taxes? Would the answer be the same if... 1) Calculate the missing amounts for each company. Sales Revenue Beginning Inventory Inventory Purchases Ending Inventory... 1) Calculate the missing amounts for each company. Sales Revenue Beginning Inventory Inventory Purchases Ending Inventory COGS Gross Profit Company 1 $100,000 $20,000 $65,000 $22,000 A B Company 2 $140,000 $25,000 C $30,000 D $45,000 Company 3 E F $45,000 $20,000 $50,000 $35,000 Company 4 $85,000 $10,000 $30,000 G $35,000 H Bartal Co. used the LIFO inventory method. At the beginning of 2019, the company decided to... Bartal Co. used the LIFO inventory method. At the beginning of 2019, the company decided to change to the FIFO method. For each year reported in the comparability statements, the company makes those statements appear as if FIFO had been applied all along. The following table analyzes the impact of this change on the company’s inventory and income. Years ending Dec 31 ($ in millions) 2019 2018 2017 Previous years COGS (LIFO) $430 $420 $405 $2,000 COGS (FIFO) 370 365... Question 1: Kayla Company uses the perpetual inventory system and the LIFO method. The following information... Question 1: Kayla Company uses the perpetual inventory system and the LIFO method. The following information is available for the month of June: June 1 Beginning inventory 200 units @ $5 12 Purchase on account 400 units @ $6 15 Sales on account 440 units 23 Purchase on account 300 units @ $7 27 Sales on account 360 units The selling price (price the company charged the customers) was $10 per unit. a) Show the calculation of cost of goods... CA8.11   (LO 3, 4 ) (LIFO Choices) Wilkens Company uses the LIFO method for inventory costing.... CA8.11   (LO 3, 4 ) (LIFO Choices) Wilkens Company uses the LIFO method for inventory costing. In an effort to lower net income, company president Mike Wilkens tells the plant accountant to take the unusual step of recommending to the purchasing department a large purchase of inventory at year-end. The price of the item to be purchased has nearly doubled during the year, and the item represents a major portion of inventory value. Also answer the following:       -what ratios are... Rose, Inc. uses the dollar-value LIFO retail inventory method. For years ending 2015-2019 they counted the... Rose, Inc. uses the dollar-value LIFO retail inventory method. For years ending 2015-2019 they counted the following dollar amounts for inventory at retail prices 2015 $124,000 2016 $138,600 2017 $157,500 2018 $149,240 2019 $155,700 As far as prices are concerned, the following year end price indexes were estimated as: 2015 1.00 2016 1.04 2017 1.10 (10 percent higher prices than in 2015) 2018 1.13 2019 1.15 The cost to retail percentage for those items added in each year were as... Sheridan uses the conventional retail method to determine its ending inventory at cost. Assume the beginning... Sheridan uses the conventional retail method to determine its ending inventory at cost. Assume the beginning inventory at cost (retail) were $395000 ($599000), purchases during the current year at cost (retail) were $2155000 ($3400000), freight-in on these purchases totaled $134000, sales during the current year totaled $3100000, and net markups (markdowns) were $77000 ($113000). What is the ending inventory value at cost? Hint: Round intermediate calculation to 3 decimal places, e.g. 0.635 and final answer to 0 decimal places. 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... ADVERTISEMENT Subjects Accounting Advanced Math Anatomy and Physiology Biology Chemistry Civil Engineering Computer Science Economics Electrical Engineering Finance History Math Mechanical Engineering Operations Management Physics Psychology Statistics and Probability Nursing Other ADVERTISEMENT Latest Questions Explain two differences between Services and Manufacturing with one example each. not to long answe max... Improving Decision Making: Making the Rent vs. Buy Decision for Data Storage for ABC Digital Software... 1. Consider Google’s influence on society, understanding, education, and perception. When Google delivers the majority of... BQ(11). “Some procurement and supply managers mention that: We can’t be spending money on supplier development—we’re... Find thesidue of : 1- (Z2) / (Z2+i)3(Z2-i)2 2-(Z3-2Z4) / (Z+4)2(Z2+4)2 The comparative balance sheets for Larkspur Corporation show the following information. December 31 2017 2016 Cash... Instructions: This case is a comprehensive engineering ethics case study aims to cover as much as... ADVERTISEMENT About @ 2020 WizEdu