Question

CALCULATOR FULL SCREEN P. Problem 6-03A Sheffield Corp. had a beginning inventory of 115 units of Product RST at a cost of $9 per unit. During the year, purchases were: Feb. 20 660 units at $10 Aug. 12401 units at $12 May 5 559 units at $11 Dec. 8 115 units at $13 Sheffield uses a periodic inventory system. Sales totaled 1,506 units. Your answer is partially correct. Try again. Determine the cost of goods available for sale. The cost of goods available for sale 20091 Calculate Average Cost. (Round answer to 3 decimal places, e.g. 5.125.) Average cost 5.997 SHOW LIST OF ACCOUNTS LINK TO VIDEO LINK TO TEXT

Answer 1

1	Average cost	$10.860
2		FIFO	LIFO	Average Cost
	The ending inventory	$4,315	$3,385	$3,801
	The cost of goods sold	$15,776	$16,706	$16,290
	Average Cost
	Units	Unit Cost
	115	$9	$1,035
	660	$10	$6,600
	559	$11	$6,149
	401	$12	$4,812
	115	$13	$1,495
	1,850		$20,091
	Average cost per unit		$10.860
	Ending Inventory = 350 x $10.860	$3,801
	COGS = Beginning inventory + purchases - ending inventory
	=	$1,035 + $19,056 - $3,801
	=	$16,290
	FIFO
	Units	Unit Cost
	115	$13	$1,495
	235	$12	$2,820
	Ending Inventory		$4,315
	COGS = Beginning inventory + purchases - ending inventory
	=	$1,035 + $19,056 - $4,315
	=	$15,776
	LIFO
	Units	Unit Cost
	115	$9	$1,035
	235	$10	$2,350
	Ending Inventory		$3,385
	COGS = Beginning inventory + purchases - ending inventory
	=	$1,035 + $19,056 - $3,385
	=	$16,706