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Carla Vista Co. had a beginning inventory of 92 units of Product RST at a cost o

ID: 2340496 • Letter: C

Question

Carla Vista Co. had a beginning inventory of 92 units of Product RST at a cost of $7 per unit. During the year, purchases were: Feb. 20 544 units at $8Aug. 12 365 units at 10 May 5510 units at $9Dec. 896 units at $11 Carla Vista Co. uses a periodic inventory system. Sales totaled 1,470 units (a) Determine the cost of goods available for sale. The cost of goods available for sale s (b) Calculate Average Cost. (Round answer to 3 decial places, e.g. 5.125.) Average Cost SHOW LIST OF ACCOUNTS VIDEO: SIMILAR PROBLEM Determine the ending inventory and the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). (Round answers to 0 decimal places, e.g. 150.) FIFO LIFO AVERAGE-COST The ending inventory The cost of goods sold

Explanation / Answer

Answers

Cost of goods available for sale= $14292

Average cost=$8.894 per unit

FIFO

LIFO

Weighted Average

Ending Inventory

$         1,466.00

$   1,004.00

$                1,218.422

Cost of Goods Sold

$      12,826.00

$ 13,288.00

$                13,073.58

Working

Units

Cost per unit

value

Opening Stock

92

$     7.00

$          644.00

Purchases

20-Feb

544

$     8.00

$      4,352.00

5-May

510

$     9.00

$      4,590.00

12-Aug

365

$   10.00

$      3,650.00

8-Dec

96

$   11.00

$      1,056.00

Total

1607

$    14,292.00

Average Cost of Inventory

Total Units

(A)

1607

Total Cost

(B)

$ 14,292.00

Average Cost

(C=B/A)

8.894

FIFO

Total Units Available for sale

1607

Units Sold

1470

Closing Stock in Units

137

Valuation

Closing stock

96

@

$ 11.00

$    1,056.00

41

@

$ 10.00

$        410.00

Value Of Closing Stock

$    1,466.00

Cost of Goods sold

(14292-1466)

$ 12,826.00

LIFO

Total Units Available for sale

1607

Units Sold

1470

Closing Stock in Units

137

Valuation

Closing stock

92

@

$    7.00

$        644.00

45

@

$    8.00

$        360.00

Value Of Closing Stock

$    1,004.00

Cost of Goods sold

(14292-1004)

$ 13,288.00

Average method

Total Units Available for sale

1607

Units Sold

1470

Closing Stock in Units

137

Valuation

Closing stock

137

@

$ 8.894

$    1,218.42

Value Of Closing Stock

$ 1,218.422

Cost of Goods sold

(Total Purchase and opening stock Minus Closing Stock)

$ 13,073.58

FIFO

LIFO

Weighted Average

Ending Inventory

$         1,466.00

$   1,004.00

$                1,218.422

Cost of Goods Sold

$      12,826.00

$ 13,288.00

$                13,073.58