beg inventory in 2006 $33222
>
> purchases during 2006:
> JAnuarry 1000@17.20 = 17,200
> march 1100@17.20=18920
> may 1100@17.30=19030
> july 1000@17.30 = 17300
> aug 1080@17.40= 18792
> October 1100@18.04=19844
> total units are 6380
>
adjusting entry information:
> physical inventory finds 2,120 units of merchandise at 12/3106
> FIFO cost flow assumption is used
> sales price for company will be about $25 @ in the first few months
> of 2007.
> the january purchase cost of company is $16, due to competitive
> market conditions.
>
> kind of confused on this specially on part where u have to calculate
> lower cost to market
>
> i try to slove by FIFO i end up with 4260 units being sold total cost
> $73494
>
> ending inventory 2120 units, total cost $37592
> but when i do the physical count i don't end up with same cost of
> good sold cost. i'm not sure where i am messed up. and help me figure out Lower cost to market adjusting entry

thank you
>