I'm going to say first that the way you've presented the information is a bit on the confusing side. You also have never indicated whether you are supposed to be doing periodic or perpetual. It actually looks like you're valuating using costs periodically, but presenting the info as though you're doing perpetual. As I said, the way the info is presented is confusing and I'm not even sure which method you're trying to do. Meaning, I can't tell you everything you're doing incorrectly, can't tell you how to do it correctly, nor what any actual answers are.
There are, however, certain things I
can tell you.
fifo
jan 95 10@ $30 stock valuation 10@$30= 300
April 95 10@ $34 stock valuation 10@$30
10@$34= 640
oct 95 20@$40 stock valuation 10@ $30
10@$34
10@$40 = 1440
The information would never be presented as above. If you were doing perpetual, you would have to stop after April and figure in the sale that was made, not continue on to the next purchase. If you were doing periodic, there would be no need at all to show the Jan and Apr valuations separately like that - you'd only need to show how all three of them come out. For instance, the info you have on purchases is:
Jan 10 @ $30 = $300
April 10 @ $34 = 340
Oct 20 @ $20 = $800
= total of $1440
You would only have to split that all apart if you're doing perpetual, and as I said, in that case you have to stop after April and show the sale. This is part of what makes the info confusing. Also -- your columns didn't show up. People post and never look at what they post to see if it's legible.
may 95 unit out 8@$50 stock valuation 12$34
20$40= 1208
You're valuing inventory and showing what costs will be used when you sell something. The retail price is irrelevant to that -- don't present it at all because it adds to the confusion and makes it look like you're using that $50 for something when you're not.
I would like to know how you got 12 units @ $34 left over in inventory when you never had that many to begin with. You only had 10 units at $34. You can't create more by selling some. The problem is that people insist on keeping these price categories together as lump sums. i.e. you sold 8 - you knew they cost $30, but you don't want to take the $30 ones and split it between
8 sold and
2 unsold. So instead you just said there's 12 of the $34 ones left when there weren't 12 at all. You still have 2 of the $30 ones. Do you see that? And you have all 10 of the $34 ones. (And all of the $40 ones also.)
nov 95 unit out 24@$60 stock valuation 20$40= 800
Your math doesn't work. You need to stop and think about that. You had 32 units total before this second sale. You are now selling 24. So how do you have 20 units left? Again, I think it's because you don't want to take that $40 price category and split them apart. They aren't glued together. Literally see the inventory sitting around. You happen to purchase 20 units all at the same time at $40. But you aren't allowed to sell some of them and have some of them left over, just because they were purchased at the same price? Think about that for a while, because it doesn't make any sense.
(Although you aren't necessarily doing anything I haven't seen a trillion other people do. The problem is they're always thinking "abstract accounting stuff" somewhere in the back of their head, instead of picturing the logic behind what is actually going on. Picture the warehouse and watch the units moving in and out, and stop thinking about "accounting.")
LIFO
may 95 unit out 8@$50 stock valuation 10$30
10$34
12$40= 1120
This isn't going to work this way. If you're doing periodic, you would not stop and take out only the 8 you sold in May. You would do everything all at once at the end of the year. I have a feeling you're attempting to do perpetual. If that is the case, if you follow the dates in order, you did not even have the $40 ones in May when the first sale was made, right?
So you need to determine which method you're using. I can't tell you what specifically is wrong if I don't know what method you're using. Rehmanvohra specifically asked which method, and I also mentioned there were two. But you haven't answered that question.
nov 95 unit out 24@$50 stock valuation 10$ 30
10$34= 640
Again... you sold 24 total out of 32. So how can you sell 24 of 32 and have 20 left? I know it's because you simply won't break apart those price categories. But look at your final answer. You had 10 at $30, 10 at $34 and 12 at $40. Then you sell 24 of them, but the only thing you dropped off the inventory was the 12 at $40. That doesn't mathematically work.