Answer:
gross profit:
- under FIFO = $21,040
- under LIFO = $17,930
- under weighted average = $19,539.79
- under specific identification = $19,655
Explanation:
Some information was missing, so I looked it up:
Date Activities Units Acquired Units Sold at Retail
Mar. 1 Beginning inv. 230 units at $53.60
Mar. 5 Purchase 290 units at $58.60
Mar. 9 Sales 400 units at $88.60
Mar. 18 Purchase 150 units at $63.60
Mar/ 25 Purchase 280 units at $65.60
Mar. 29 Sales 270 units at 90.60
Totals 950 units 670 units
ending inventory = 280 units
so COGS:
under FIFO = (230 x $53.60) + (290 x $58.60) + (150 x $63.60) = $38,862
under LIFO = (280 x $65.60) + (150 x $63.60) + (240 x $58.60) = $41,972
under weighted average = ($57,230 / 950) x 670 = $40,362.21
under specific identification = (135 x $53.60) + (265 x $58.60) + (115 x $63.60) + (155 x $65.60) = $40,247
total revenue = (400 x $88.60) + (270 x $90.60) = $35,440 + $24,462 = $59,902
gross profit:
under FIFO = $59,902 - $38,862 = $21,040
under LIFO = $59,902 - $41,972 = $17,930
under weighted average = $59,902 - $40,362.21 = $19,539.79
under specific identification = $59,902 - $40,247 = $19,655
