Question

BE6-2 In its first month of operations, McLanie Company made three purchases of merchandise in the...

BE6-2

In its first month of operations, McLanie Company made three purchases of merchandise in the following sequence: (1) 300 units at $6, (2) 400 units at $8, and (3) 500 units at $9. Assuming there are 200 units on hand at the end of the period, compute the cost of the ending inventory under (a) the FIFO method and (b) the LIFO method. McLanie uses a periodic inventory system.

Compute the ending inventory using average‐cost.

(LO 2), AP

BE6-3 Data for McLanie Company are presented in BE6-2. Compute the cost of the ending inventory under the average‐cost method. (Round the cost per unit to three decimal places.)

Explain the financial statement effect of inventory cost flow assumptions.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

BE 6-2 :

Ending inventory:

(A) FIFO = $1,800

(B) LIFO = $1,200

BE 6-3:

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
In its first month of operations, Bethke Company made three purchases of merchandise in the following...
In its first month of operations, Bethke Company made three purchases of merchandise in the following sequence: (1) 155 units at $6, (2) 510 units at $7, and (3) 100 units at $8. Assuming there are 360 units on hand, compute the cost of the ending inventory under the FIFO method and LIFO method. Bethke uses a periodic inventory system. FIFO LIFO Cost of the ending inventory $ $   
In its first month of operations, Concord Company made three purchases of merchandise in the following...
In its first month of operations, Concord Company made three purchases of merchandise in the following sequence: (1) 350 units at $7, (2) 410 units at $8, and (3) 240 units at $9. Assuming there are 360 units on hand, compute the cost of the ending inventory under the FIFO method and LIFO method. Concord uses a periodic inventory system. Cost of the ending inventory: FIFO $
In its first month of operations, Swifty Company made three purchases of merchandise in the following...
In its first month of operations, Swifty Company made three purchases of merchandise in the following sequence: (1) 310 units at $7, (2) 470 units at $8, and (3) 230 units at $9. Assuming there are 360 units on hand, compute the cost of the ending inventory under the FIFO method and LIFO method. Swifty uses a periodic inventory system.
In its fi rst month of operations, Bethke Company made three purchases of merchandise in the...
In its fi rst month of operations, Bethke Company made three purchases of merchandise in the following sequence: (1) 300 units at $6, (2) 400 units at $7, and (3) 200 units at $8. Assuming there are 360 units on hand, compute the cost of the ending inventory under the (a) FIFO method and (b) LIFO method. Bethke uses a periodic inventory system.
In its first month of operations, Oriole Company made three purchases of merchandise in the following...
In its first month of operations, Oriole Company made three purchases of merchandise in the following sequence: (1) 306 units at NT$171, (2) 418 units at NT$181, and (3) 217 units at NT$200. Oriole uses a periodic inventory system. A) Assuming there are 467 units on hand, compute the cost of the ending inventory under the FIFO method. B) Assuming there are 467 units on hand, compute the cost of the ending inventory under the average-cost method.
In its first month of operations, Bramble Corp. made three purchases of merchandise in the following...
In its first month of operations, Bramble Corp. made three purchases of merchandise in the following sequence: (1)  240 units at $ 4, (2)  340 units at $ 6, and (3)  440 units at $ 7. Assuming there are  140 units on hand at the end of the period, compute the cost of the ending inventory under (a) the FIFO method and (b) the LIFO method. Bramble Corp. uses a periodic inventory system.
In its first month of operations, Coronado Industries made three purchases of merchandise in the following...
In its first month of operations, Coronado Industries made three purchases of merchandise in the following sequence: (1) 260 units at $8, (2) 360 units at $10, and (3) 460 units at $11. Assuming there are 160 units on hand at the end of the period. Compute the cost of the ending inventory under the average-cost method. (Round answer to 0 decimal places, e.g. 5,275.)
In its first month of operations, Kingbird, Inc. made three purchases of merchandise in the following...
In its first month of operations, Kingbird, Inc. made three purchases of merchandise in the following sequence: (1) 155 units at $5, (2) 520 units at $6, and (3) 140 units at $7. New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is incorrect. Calculate the weighted-average unit cost. (Round answer to 2 decimal places, e.g. 15.25.) Weighted-average unit cost $enter the Average unit cost in dollars rounded to 2 decimal places...
A company just starting business made the following four inventory purchases in June: June      1                      &
A company just starting business made the following four inventory purchases in June: June      1                           150 units                      $   490 June    10                           200 units                           785 June    15                           200 units                           830 June    28                           150 units                           810                                                                                $2,915 A physical count of merchandise inventory on June 30 reveals that there are 220 units on hand. Using the Periodic Inventory System. a. Using the LIFO inventory method, the value of the ending inventory on June 30 is? b. Using the Average Cost Inventory Method...
The following information relates to questions 22-25: A company made the following merchandise purchases and sales...
The following information relates to questions 22-25: A company made the following merchandise purchases and sales during the month of July: Assume that there was no beginning inventory. July 4 Purchased 100 units at $20 each July 7 Sold 60 units July 15 Purchased 200 units at $22 each July 22 Purchased 300 units at $25 each July 28 Sold 400 units 22. If the company uses the FIFO, periodic inventory method, ending inventory would be:             A. $2,000            ...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT