Daniel Company uses a periodic inventory system. Data for the current year: beginning merchandise inventory (ending inventory December 31, prior year), 2,000 units at $38; purchases, 8,000 units at $40; expenses (excluding income taxes), $184,500; ending inventory per physical count at December 31, current year, 1,800 units; sales, 8,200 units; sales price per unit, $75; and average income tax rate, 20 percent. Required: 1-a. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods.Note: Do not round your intermediate calculations. Finish my chart and correct it Cost of Goods Sold Inventory Costing Method Units FIFO LIFO Average Cost Beginning inventory 2,000 $76,000 Purchases 8,000 Goods available for sale 10,000 76,000 0 0 Ending inventory 1,800 72,000 68,400 71,280 Cost of goods sold 396,000 $324,000 $327,600 $324,720
Daniel Company uses a periodic inventory system. Data for the current year: beginning merchandise inventory (ending inventory December 31, prior year), 2,000 units at $38; purchases, 8,000 units at $40; expenses (excluding income taxes), $184,500; ending inventory per physical count at December 31, current year, 1,800 units; sales, 8,200 units; sales price per unit, $75; and average income tax rate, 20 percent. Required: 1-a. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods.Note: Do not round your intermediate calculations. Finish my chart and correct it Cost of Goods Sold Inventory Costing Method Units FIFO LIFO Average Cost Beginning inventory 2,000 $76,000 Purchases 8,000 Goods available for sale 10,000 76,000 0 0 Ending inventory 1,800 72,000 68,400 71,280 Cost of goods sold 396,000 $324,000 $327,600 $324,720
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter7: Inventories: Cost Measurement And Flow Assumptions
Section: Chapter Questions
Problem 11RE: Jessie Stores uses the periodic system of calculating inventory. The following information is...
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Question
Daniel Company uses a periodic inventory system. Data for the current year: beginning merchandise inventory (ending inventory December 31, prior year), 2,000 units at $38; purchases, 8,000 units at $40; expenses (excluding income taxes), $184,500; ending inventory per physical count at December 31, current year, 1,800 units; sales, 8,200 units; sales price per unit, $75; and average income tax rate, 20 percent.
Required:
1-a. Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods.
Compute cost of goods sold under the FIFO, LIFO, and average cost inventory costing methods.
Note: Do not round your intermediate calculations.
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