Question

Exercise 8-11 Tamarisk Company's record of transactions for the month of April was as follows. Purchases April 1 (balance on hand) 1,200 @ $6.00 3,000 @ 6.08 1,600 @ 6.40 2,400 @ 6.50 1,400 @ 6.60 1,000 @ 6.79 10,600 Sales April 3 1,000 @ $10.00 9 2,800 @ 10.00 11 1,200 @ 11.00 23 2,400 @ 11.00 27 1,800 @ 12.00 9,200 Assuming that periodic inventory records are kept in units only, calculate the average-cost per unit. (Round answert Average-cost per units 6.35 per unit LINK TO TEXT Assuming that periodic inventory records are kept in units only, compute the inventory at April 30 using LIFO and average-cost. (Round answer to o decimal places, e.g. 2,760.) LIFO Average-cost s

Answer 1

Calculate the requirements as follows: B Α 1 Particulars 2 Beginning Inventory 3 Add: Purchases 4 Less: Sales 5 Ending Inventory (Units) 6 LIFO Ending inventory Amount 1200 9400 9200 1400 $ 8,416 9 Total Cost 10 Number of units 11 Average cost per unit 12 Ending Inventory under Average Cost $ 67,310 10600 $ 6.35 S 8,890 Calculations: Amount A 1 Particulars 2 Beginning Inventory 3 Add: Purchases 4 Less: Sales 5 Ending Inventory (Units) 6 LIFO Ending inventory 1200 =3000+1600+2400+1400+1000 =1000+2800+1200+2400+1800 =B2+B3-B4 =(1200*6)+(200*6.08) 9 Total Cost =(1200*6)+(3000*6.08)+(1600*6.4)+(2400*6.5)+(1400*6.6)+(1000*6.79) 10 Number of units 10600 11 Average cost per unit =B9/B10 12 Ending Inventory under Average Cost =1400*B11 For any queries or doubts related to format or any values please post in comment section, I would take that up.