Answer:
1. FIFO : Cost of Goods Sold (650 units):
June 6 300 units: 200 units at 3.20 640
100 units at 3.50 350
June 21 200 units: 100 units at 3.50 350
100 units at 3.60 360
June 27 150 units: 150 units at 3.60 540
total 2,240
(200 x3.20) + [(200 x 3.50) + (250 x 3.60) + (300 x 3.65)] - 2,240 =
= 640 + 2,695 - 2,240 = 1,095
2) LIFO : Cost of Goods Sold (650 units):
June 6 300 units: 100 units at 3.20 320.0
200 unit at 3.50 700.00
June 21 200 units at 3.60 720.00
June 27 150 units at 3.65 547.50
2287.50
Ending Inventory (300 units):
640 + 2695 - 2287.50 = 1047.50
100 units at 3.20 = 320.00
50 units at 3.60 = 180.00
150 units at 3.65 = 547.50
1047.50
3. Average Cost :
June 1 - Beginning Inventory 200 units at 3.20 640
June 3 - Purchases 200 units at 3.50 700
June 3 - Balance 400 units at 3.35 1340
June 6 - Sales 300 units at 3.35 1005
June 6 - Balance 100 units at 3.35 335
June 17 - Purchases 250 units at 3.60 900
June 17 - Balance 350 units at 3.53 1235
June 21 - sales 200 units at 3.53 706)
June 21 - Balance 150 units at 3.53 529
June 24 - Purchase 300 units at 3.65 1095
June 24 - Balance 450 units at 3.61 1624
June 27 - Sales 150 units at 3.61 541
June 30 - Balance 300 units at 3.61 1083
Cost of Goods Sold 650 units 1005 + 706 +541
2252
Ending Inventory (300 units at 3.61) 1083
Rounded
