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Tutorial   12056

Park Company reported the following March purchases and sales data for its only product. Date Activities Units Acquired at Cost Units sold at Retai...

Question:

Park Company reported the following March purchases and sales data for its only product.

Date                             Activities                              Units Acquired at Cost          Units sold at Retail

 Mar.      1                Beginning Inventory            150 units @$7.00 =  $1,050

 Mar.      10             Sales                                                                                                   90units                @ $15

 Mar.      20             Purchase                                 220   units @$6.00 = 1,320     

 Mar.      25             Sales                                                                                                   145 units @$15

 Mar.      30             Purchase                                 90 units @$5.00 =       450

                                Totals                                       460 units   $2,820                             235 units

Park uses a perpetual inventory system. For specific identification, ending inventory consists of 225 units, where 90 are from the March 30 purchase, 80 are from the March 20 purchase, and 55 are from beginning inventory.

Required:

1.            Determine the cost assigned to ending inventory and to cost of goods sold using specific identification.

2.            Determine the cost assigned to ending inventory and to cost of goods sold using weighted average.(Due to rounding, the sum of Cost of Goods Sold and Ending inventory may not equal the Cost of Good available for sales.

3.            Determine the cost assigned to ending inventory and to cost of goods sold using FIFO.

4.            Determine the cost assigned to ending inventory and to cost of goods sold using LIFO.