Question

Check my work Check my work Mower-Blower Sales Co. started business on January 20, 2019. Products sold were snow blowers and lawn mowers. Each product sold for $350. Purchases during 2019 were as follows: Mowers Blowers 22 $ 205 36 193 27 191 24 180 points January 21 February 3 Pebruary 2B March 13 April 6 May 22 June 3 June 20 August 15 September 20 November 7 17&$211 47 @ 214 438 219 702 226 180 214 178 211 eBook 20€ 205 Print The December 31, 2019, inventory included 12 blowers and 28 mowers. Assure the company uses a periodic inventory system, References Required: a-1. Compute ending inventory valuation at December 31, 2019. under the FIFO and LIFO cost flow assumptions. FIFO LIFO Blowers Mowers a-2. Is there any difference in valuation under FIFO and LIFO. Yes

Answer 1

Pek Ho Melod Mowen Flower Sales Co. Inventory valuatio Blowers (Purchases) Quantity Ratics) Total (4) Suoritate January 21 22 205 4510 February 3 6949 February 28 27 190 5157 March 13 Aprel 6 May 22 June 3 June 20 August is September November 7 3587 10058 9374 15,820 3852 3587 2.05 4100 46,298 Fifo and lifo are two of the many methods og inventory valuation used in the accounting o inventaries (FIFO) First In Furst out means the goods inventory which is purchased funt is sold first, that is in ouder of their purchase. As pen FIFO methad the value o inventory is. as hallous : Sunce on December 31, 2019, Blowers were 12 and mowers were 28 in inventory. Blowers = 12 *$2.05 = $3460 Mowers = 2x [11x$2167+ [ 17 x $2117 = $2354 + 3587 LIFO on Last In Furst out imeans that the inventory purchased last is sold first. Hence, there will be differences in the للولد الشامل و عي م% های معمم to the method of valuation of inventory used But sometimes there may not be any differences in the valuation when either methed is used. As per LIFO mothed the value of unentory is as follows Blowers = 12X $205 = $2460 Mowers = $17x211 ] + $[1182167 - 3551 + $2354 $5941

thora Сулолл Гену Nol ofолл в МОЛЛ Е ЯВААД, sales Co. as on December 31, 2019 is as below: LIFO Blowers $2460 $2460 Mowers $5941 $5941 a.2. There is no FIFO and difference in valuation Lifo. under