Question

need it asap ?? help please i had someone help me do it before but most of them

are wrong and getting wrong answers

Required information (The following information applies to the questions displayed below.) Hemming Co. reported the following current-year purchases and sales for its only product. Units Sold at Retail 160 units @ $41.20 Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Mar. 14 Purchase Mar. 15 Sales July 30 Purchase Oct. 5 Sales Oct. 26 Purchase Totals Units Acquired at Cost 230 units @ $11.20 = $ 2,576 350 units @ $16.20 = 5,670 430 units @ $21.20 - 9,116 320 units @ $41.20 400 units @ $41.20 130 units @ $26.20 = 1.140 units 3,406 $20,768 880 units Required Hemming uses a perpetual Inventory system. 1. Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. 2. Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. 3. Compute the gross margin for FIFO method and LIFO method

Answer 1

Solution 1:

Computation of ending inventory COGS under FIFO - Hemming Co
Date	Beginning Inventory			Purchase			Cost of Goods Sold			Ending Inventory
	Qty	Rate	Amount	Qty	Rate	Amount	Qty	Rate	Amount	Qty	Rate	Amount
1-Jan	230	$11.20	$2,576.00	0	$0.00	$0.00	0	$0.00	$0.00	230	$11.20	$2,576.00
10-Jan	230	$11.20	$2,576.00	0	$0.00	$0.00	160	$11.20	$1,792.00	70	$11.20	$784.00
14-Mar	70	$11.20	$784.00	350	$16.20	$5,670.00	0	$0.00	$0.00	70	$11.20	$784.00
										350	$16.20	$5,670.00
15-Mar	70	$11.20	$784.00	0	$0.00	$0.00	70	$11.20	$784.00	100	$16.20	$1,620.00
	350	$16.20	$5,670.00				250	$16.20	$4,050.00
30-Jul	100	$16.20	$1,620.00	430	$21.20	$9,116.00	0	$0.00	$0.00	100	$16.20	$1,620.00
										430	$21.20	$9,116.00
5-Oct	100	$16.20	$1,620.00	0	$0.00	$0.00	100	$16.20	$1,620.00	130	$21.20	$2,756.00
	430	$21.20	$9,116.00				300	$21.20	$6,360.00
26-Oct	130	$21.20	$2,756.00	130	$26.20	$3,406.00	0	$0.00	$0.00	130	$21.20	$2,756.00
										130	$26.20	$3,406.00
Total							880		$14,606.00	260		$6,162.00

solution 2:

Computation of ending inventory COGS under LIFO - Hemming Co
Date	Beginning Inventory			Purchase			Cost of Goods Sold			Ending Inventory
	Qty	Rate	Amount	Qty	Rate	Amount	Qty	Rate	Amount	Qty	Rate	Amount
1-Jan	230	$11.20	$2,576.00	0	$0.00	$0.00	0	$0.00	$0.00	230	$11.20	$2,576.00
10-Jan	230	$11.20	$2,576.00	0	$0.00	$0.00	160	$11.20	$1,792.00	70	$11.20	$784.00
14-Mar	70	$11.20	$784.00	350	$16.20	$5,670.00	0	$0.00	$0.00	70	$11.20	$784.00
										350	$16.20	$5,670.00
15-Mar	70	$11.20	$784.00	0	$0.00	$0.00	320	$16.20	$5,184.00	70	$11.20	$784.00
	350	$16.20	$5,670.00							30	$16.20	$486.00
30-Jul	70	$11.20	$784.00	430	$21.20	$9,116.00	0	$0.00	$0.00	70	$11.20	$784.00
	30	$16.20	$486.00							30	$16.20	$486.00
										430	$21.20	$9,116.00
5-Oct	70	$11.20	$784.00	0	$0.00	$0.00	400	$21.20	$8,480.00	70	$11.20	$784.00
	30	$16.20	$486.00							30	$16.20	$486.00
	430	$21.20	$9,116.00							30	$21.20	$636.00
26-Oct	70	$11.20	$784.00	130	$26.20	$3,406.00	0	$0.00	$0.00	70	$11.20	$784.00
	30	$16.20	$486.00							30	$16.20	$486.00
	30	$21.20	$636.00							30	$21.20	$636.00
										130	$26.20	$3,406.00
Total							880		$15,456.00	260		$5,312.00

Solution 3:

Computation of Gross Profit
Particulars	FIFO	LIFO
Sales	$36,256.00	$36,256.00
Cost of goods sold	$14,606.00	$15,456.00
Gross Profit (Sales - COGS)	$21,650.00	$20,800.00