Question

Given the following:

	Number purchased	Cost per unit			Total
January 1 inventory	40	$	4		$	160
April 1	60		7			420
June 1	50		8			400
November 1	55		9			495
	205				$	1,475

a. Calculate the cost of ending inventory using the FIFO (ending inventory shows 61 units).

Cost of ending inventory            $

b. Calculate the cost of goods sold using the FIFO (ending inventory shows 61 units).

Cost of goods sold            $

Answer 1

Cost of Ending Inventory = $543
Cost of Goods Sold = $932