Question

# Jackson Company provided the following data about its inventory for the month of April. Use this...

Jackson Company provided the following data about its inventory for the month of April. Use this information for the questions below.

 Date Transaction April 1 Beginning inventory 300 units at \$10 April 2 Sold 200 units at \$24 April 3 Purchased 800 units at \$12 April 14 Sold 500 units at \$24 April 20 Purchased 500 units at \$13 April 30 Sold 300 units at \$25

Assume Jackson uses the periodic system of inventory. Calculate ending inventory and cost of goods sold using FIFO, LIFO, and weighted-average cost method. (Hint: First determine the number of units remaining in ending inventory.)

 Units Unit cost Total Beg inv. 300 10 3000 3-Apr 800 12 9600 20-Apr 500 13 6500 Total 1600 19100 Average cost=19100/1600= \$11.9375 Ending inventory units=1600-200-500-300=600 FIFO: Ending inventory 7700 =(500*13)+(100*12) Cost of goods sold 11400 =19100-7700 LIFO: Ending inventory 6600 =(300*10)+(300*12) Cost of goods sold 12500 =19100-6600 Weighted average: Ending inventory 7162.5 or 7163 =600*11.9375 Cost of goods sold 11937.5 or \$11937 =19100-7163

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