Question

Sharon’s Boards sells a snowboard, Xpert, that is popular with snowboard enthusiasts. Information relating to Sharon’s purchases of Xpert snowboards during September is shown below. During the same month, 121 Xpert snowboards were sold. Sharon’s uses a periodic inventory system.

Date		Explanation		Units		Unit Cost		Total Cost
Sept. 1		Inventory		26		$97		$ 2,522
Sept. 12		Purchases		45		105		4,725
Sept. 19		Purchases		20		107		2,140
Sept. 26		Purchases		50		108		5,400
		Totals		141				$14,787 Compute the ending inventory at September 30 and cost of goods sold using the FIFO and LIFO methods.

Answer 1

Ending inventory units	20	=141-121
FIFO:
Ending inventory at September 30	2160	=20*108
Cost of goods sold	12627	=14787-2160
LIFO:
Ending inventory at September 30	1940	=20*97
Cost of goods sold	12847	=14787-1940