Question

[The following information applies to the questions displayed below.] Hemming Co. reported the following current-year purchases and sales for its only product. Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 200 units @ $10 = $ 2,000 Jan. 10 Sales 150 units @ $40 Mar. 14 Purchase 350 units @ $15 = 5,250 Mar. 15 Sales 300 units @ $40 July 30 Purchase 450 units @ $20 = 9,000 Oct. 5 Sales 430 units @ $40 Oct. 26 Purchase 100 units @ $25 = 2,500 Totals 1,100 units $ 18,750 880 units Hemming uses a periodic inventory system.

Periodic LIFO	Cost of Goods Available for Sale			Cost of Goods Sold			Ending Inventory
	# of units	Cost per unit	Cost of Goods Available for Sale	# of units sold	Cost per unit	Cost of Goods Sold	# of units in ending inventory	Cost per unit	Ending Inventory
Beginning inventory	200	$10.00	$2,000		$10.00			$10.00
Purchases:
March 14	350	$15.00	5,250		$15.00			$15.00
July 30	450	$20.00	9,000		$20.00			$20.00
October 26	100	$25.00	2,500		$25.00			$25.00
Total	1,100		$18,750	0		$0	0		$0

Answer 1

STATEMENT SHOWING INVENTORY RECORD UNDER PERIODIC LIFO METHOD
	RECIEPTS			COST OF GOODS SOLD			BALANCE
DATE	UNITS	RATE	AMOUNT $	UNITS	RATE	AMOUNT $	UNITS	RATE	AMOUNT $
Balance Oct1	200	10	2000				200	10	2000
Purchasse
14-Mar	350	15	5250	330	15	4950	20	15	300
30-Jul	450	20	9000	450	20	9000
26-Oct	100	25	2500	100	25	2500
TOTAL	1100		18750	880		16450	220		2300