Question

Aug.1 Inventory on hand-3,700 units; cost $7.80 each. 8 Purchased 18,500 units for $7.20 each. 14 Sold 14,800 units for $13.70 each. 18 Purchased 11,100 units for $6.40 each. 25 Sold 13,800 units for $12.70 each. 28 Purchased 5,700 units for $5.80 each. 31 Inventory on hand-10,400 units. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using last-in, first-out (LIFO). Cost of Goods Available for Sale Cost of Goods Sold - August 14 Cost of Goods Sold - August 25 Inventory Balance Perpetual LIFO: # of units Cost per Cost of Goods Available for Sale # of units sold Cost per Cost of Goods Sold # of units sold Cost per Cost of Total Cost of Goods Sold Goods Sold # of units in ending inventory Cost per unit Ending Inventory unit unit unit 3,700 $ 7.80 $ 28,860 0 $ 7.80 $ 0 0 $ 7.80 $ $ 7.80 Beg. Inventory Purchases: August 8 August 18 August 28 I 18,500 11,100 5,700 39,000 720 6.40 5.80 133,200: 720 7.20 7.20 71,040 6.40 0 6.40 6.40 33,060 05.80 0 5.80 5.80 $ 266,1600S 00S 0S 00S 0 Total

Answer 1

LIFO Cost of Goods Sold -August 14 Cost of Goods Sold - August 25 Inventory Balance Cost of Goods Available for Sale Cost of Cost per Goods # of units unit Available for Sale 3,700 7.80 $28.860 # of units Cost per sold unit Cost of Goods Sold # of units Cost per unit Cost of Goods Sold Total cost of Goods sold # of units Cost per Inventor unit y Value 87.80 $0.00 $7.80 $0.00 3,700 57.80 $28,860 1,000 Beginning Inventory Purchases: August 8 August 18 August 28 Total $7.20 $6.40 $5.80 14,800 - 18,500 11.100 5,700 39,000 2,700 11.100 $133,200 $71,040 $33,060 $266,160 $7.20 $6.40 $5.80 $106,560 $0.00 $0.00 $106,560 $7.20 $6.40 $5.80 $19,440 $71,040 S 0.00 $90,480 $7.20 $7,200 $6.40 $0 $5.80 $33,060 $69,120 5,700 10,400 14.800 13,800 $197,040