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Exercise 6-4 Delmott sells a snowboard, Xpert, that is popular with snowboard en

ID: 2445945 • Letter: E

Question

Exercise 6-4

Delmott sells a snowboard, Xpert, that is popular with snowboard enthusiasts. Below is information relating to Delmott’s purchases of Xpert snowboards during September. During the same month, 101 Xpert snowboards were sold. Delmott uses a periodic inventory system.

Date

Explanation

Units

Unit Cost

Total Cost

15

$111

$ 1,665

44

114

5,016

50

118

5,900

20

119

2,380

129

$14,961



(a) Compute the ending inventory at September 30 using the FIFO, LIFO and average-cost methods. (Round average cost per unit to 3 decimal places, e.g. 125.153 and final answers to 0 decimal places, e.g. 125.)


(b) Compute the cost of goods sold at September 30 using the FIFO, LIFO and average-cost methods. (Round average cost per unit to 3 decimal places, e.g. 125.153 and final answers to 0 decimal places, e.g. 125.)

FIFO

LIFO

AVERAGE-COST

Date

Explanation

Units

Unit Cost

Total Cost

Sept. 1 Inventory

15

$111

$ 1,665

Sept. 12 Purchases

44

114

5,016

Sept. 19 Purchases

50

118

5,900

Sept. 26 Purchases

20

119

2,380

Totals

129

$14,961

Explanation / Answer

(a) Closing Stock

Cost of Goods Sold

Date Particulars Units Unit Cost Total Cost Sep,1 Opening Stock 15 111 1665 Sep,12 Purchases 44 114 5016 Sep,19 Purchases 50 118 5900 Sep,26 Purchases 20 119 2380 Totals 129 14961