Tevin Trader starts a merchandising business on December 1 and enters into three inventory purchases:

Question

Tevin Trader starts a merchandising business on December 1 and enters into three inventory purchases:

December 7 10 units @ $ 6 cost

December 14 20 units @ $12 cost

December 21 15 units @ $14 cost

Trader sells 15 units for $25 each on December 15. Eight of the sold units are from the December 7

purchase and seven are from the December 14 purchase. Trader uses a perpetual inventory system.

Determine the costs assigned to the December 31 ending inventory when costs are assigned based on

(a) FIFO, (b) LIFO, (c) weighted average, and (d ) specific identification.

I am struggling so much with this can anyone help me out?

Answer 1

I have sent the Excel file to the email address you gave me.