Question

Question 37Gray Company uses the periodic inventory system to account for inventories. Information related to Gray Company's inventory at October 31 is given below:October 1 Beginning inventory 400 units @ $9.80 = $3,920 8 Purchase 800 units @ $10.40 = 8,320 16 Purchase 600 units @ $10.80 = 6,480 24 Purchase 200 units @ $11.80 = 2,360 Total units and cost 2,000 units $21,080 Value the ending inventory using the FIFO cost assumption if 550 units remain on hand at October 31.Ending Inventory $ Value the ending inventory using the weighted-average cost method if 550 units remain on hand at October 31.Ending Inventory $ Value the ending inventory using the LIFO cost assumption if 550 units remain on hand at October 31.Ending Inventory $Sunland Shutters has the following inventory information.Nov. 1 Inventory 20 units @ $8 8 Purchase 110 units @ $4.017 Purchase 60 units @ $5.025 Purchase 110 units @ $6.0A physical count of merchandise inventory on November 30 reveals that there are 110 units on hand. Assume a periodic inventory system is used. Ending inventory under FIFO is$1608.$520.$660.$1662.

Answer 1

Answer:

Last inventory of 110 @ 6 = 660

Explanation:

1. Ending Inventory using FIFO

24th purchase 200 @ 11.8 = 2360  

16th Purchase 350 @ 10.8= 3780

TOTAL=6140 (adding the 24th and 16th purchases)                      

2. Ending Inventory using Weighted Average

Total Inventory = 2000 units

Total Cost = 21080

Per unit = 21080/2000 = 10.54  (divide total cost / Total inventory)

Therefore, 550*10.54= 5797  (units remain multiplied by cost per unit)

3. Ending Inventory using LIFO

1 Beginning inventory = 400 @ 9.8 = 3920

8th purchase                 150 @ 10.4= 1560

Total = 5480  (Obtained by adding beginning inventory and the 8th purchase)

Sunland Shutter

Answer is 660

First in First out . Last inventory of 110 @ 6 = 660