Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Jessica’s Office Supply, Inc., had 300 calculators on hand on January 1, 2017, costing $16 each.
Purchases and sales of calculators during January were as follows:
January 12: 200 units for $25
J 14: 150 for $17
J 29: 100 for $18
J 30: 150 for $30
According to a physical count, 200 calculators were on hand on January 31, 2017.
FIFO:
Inventory= 150*30 + 50*18= $5,400
COGS= 300*16 + 200*25 + 150*17 + 50*18= $13,250
LIFO:
Inventory= 200*16= $3,200
COGS= 150*30 + 100*18 + 150*17 + 200*25 + 100*16= 15,450
Average cost method:
Average cost= (16 + 25 + 17 + 18 + 30)/5= 21.2
Inventory= 21.2*200= $4,240
COGS= 21.2* 700= $14,840
