Ask Me Help Desk

Ask Me Help Desk (https://www.askmehelpdesk.com/forum.php)
-   Accounting (https://www.askmehelpdesk.com/forumdisplay.php?f=19)
-   -   Just cannot understand inventory. Need a pointer in the right direction (https://www.askmehelpdesk.com/showthread.php?t=166940)

  • Dec 29, 2007, 09:37 PM
    oma0528
    Just cannot understand inventory. Need a pointer in the right direction
    Lakia Corporation reported the following current-year purchases and sales data for its only product:

    Date Activities Units Acquired at Cost Units Sold at Retail
    Jan. 1 Beginning inventory -- 120 units @ $6.00 =$ 720
    Jan. 10 Sales -- 70 units @ $15
    Mar. 7 Purchase -- 200 units @ $5.50 = 1,100
    Mar. 15 Sales ---- 125 units @ $15
    July 28 Purchase .---- 500 units @ $5.00 = 2,500
    Oct. 3 Purchase .---- 375 units @ $4.40 = 1,650
    Oct. 5 Sales --- 600 units @ $15
    Dec. 19 Purchase ---- 100 units @ $4.10  410
    Totals.. . 1,295 units $6,380 795 units


    Lakia uses a perpetual inventory system. Ending inventory consists of 500 units, 400 from the July 28 purchase and 100 from the December 19 purchase. Determine the cost assigned to ending inventory
    (a) specific identification,
    (b) weighted average,
    (c) FIFO, and
    (d LIFO
  • Jan 2, 2008, 12:36 PM
    tlarocca
    1 Attachment(s)
    Attachment 5722

  • All times are GMT -7. The time now is 05:29 AM.