Question

[The following information applies to the questions displayed below.) Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a periodic inventory system. Also, on December 15, Monson sells 28 units for $25 each. Purchases on December 7 Purchases on December 14 Purchases on December 21 18 units @ $10.00 cost 35 units @ $15.00 cost 28 units @ $18.00 cost Determine the costs assigned to ending inventory when costs are assigned based on the LIFO method. Periodic LIFO: Cost of Goods Sold Cost of Goods Available for Sale Cost of Goods Cost per # of units unit Available for Sale # of units sold Cost Cost of per unit Goods Sold Inventory Balance # of units Cost per Ending In ending unit Inventory Inventory $ 0 Purchases: December 7 December 14 December 21 Total oloa $ 0.00 0.00 0 0.00 $ 0 0 $ 0 0 $ 0

Answer 1

Answer

• Requirement asked

LIFO	Cost of Goods available for sale			Cost of Goods Sold			Ending Inventory
	Units	Cost/unit	COG for sale	Units sold	Cost/unit	COGS	Units	Cost/unit	Ending inventory
07-Dec	18	$                10.00	$                            180.00	0	$               10.00	$                              -	18	$                 10.00	$                180.00
14-Dec	35	$                15.00	$                            525.00	0	$               15.00	$                              -	35	$                 15.00	$                525.00
21-Dec	28	$                18.00	$                            504.00	28	$              18.00	$                     504.00	0	$                 18.00	$                         -
TOTAL	81		$                        1,209.00	28		$                     504.00	53		$                705.00