Answer:
Goods available for sale = 300 units
ending inventory under:
- FIFO = $1,200
- LIFO = $900
- weighted average = $1,050
- specific identification = $981.60
COGS under:
- FIFO = $2,860
- LIFO = $3,160
- weighted average = $3,010
- specific identification = $3,078.40
Explanation:
Transactions Units Unit Cost Total
Beginning Inventory Jan 1, 2015 400 $3.00 $1,200
a) Purchase, Jan 30 300 $3.40 $1,020
b) Purchase, May 1 460 $4.00 $1,840
c) Sale (160) $5.00 ($800)
<u>d) Sale (700) $5.00 ($3,500)</u>
total 300 $4,060
ending inventory under:
FIFO = 300 x $4 = $1,200
LIFO = 300 x $3 = $900
weighted average = ($4,060 / 1,160) x 300 = $1,050
specific identification = $4,060 - $3,078.40 = $981.60
COGS under:
FIFO = 300 x $4 = $4,060 - $1,200 = $2,860
LIFO = 300 x $3 = $4,060 - $900 = $3,160
weighted average = $4,060 - $1,050 = $3,010
specific identification = (160 x 2/5 x $3) + (160 x 3/5 x $3.40) + (240 x $3) + (460 x $4) = $3,078.40