Ques 1

units cost amount

Beg. Inventory 25 $ 180 $ 4,500
1-Mar 50 $ 200 $ 10,000
7-Apr 60 $ 210 $ 12,600
5-May 40 $ 225 $ 9,000
cost of goods available for sale $ 36,100

Ques 2
FIFO Purchases Sales Balance
Particulars units cost amount units cost amount units
Beg balance 25

1-Mar 50 $ 200 $ 10,000 25

50

7-Apr 60 $ 210 $ 12,600 25

50
60

15-Apr 25 180 4500 10

40 200 8000 60

5-May 40 225 9000 10

60
40

25-May 10 200 2000 20

40 210 8400 40
total 115 22900 60

W,avg Purchases Sales Balance

Particulars units cost amount units cost amount units
Beg balance 25

1-Mar 50 $ 200 $ 10,000 25

50
75

7-Apr 60 $ 210 $ 12,600 75

60
135

15-Apr 65 $ 201 13065 70

 5-May 40 225 9000 70
40
110

25-May 50 210 10500 60

total 115 23565 60

LIFO Purchases Sales Balance
Particulars units cost amount units cost amount units
Beg balance 25

1-Mar 50 200 $ 10,000 25

50

7-Apr 60 $ 210 $ 12,600 25

50
60

15-Apr 60 $ 210 12600 25

5 200 1000 45

5-May 40 225 9000 25

45
40

25-May 40 180 7200 25

10 200 2000 35
total 115 22800 60

Ques 2 FIFO LIFO Avg

ending ivnentory 13200 12600 11500

Ques 3 FIFO LIFO Avg

COGS 22900 23565 22800

Ques 4
Sales 51750 51750 51750
Less:COGS 22900 23565 22800
Gross Profit 28850 28185 28950

Ques 5
In period of rising prieces
highest ending inventory FIFO
highes COGS LIFO

Inventory turnover
COGS 22900
Avg inventory 8850
(op+closing)/2
(4500+13200)/2 2.60

days in invrntory 140 days

365/ivnentory turnover
 Balance
cost amount
$ 180 $ 4,500

$ 180 $ 4,500
$ 200 $ 10,000

180 4500
200 10000
$ 210 12600

200 2000
210 12600

200 2000
210 12600
225 9000

210 4200
225 9000
13200

Balance
cost amount
$ 180 $ 4,500

$ 180 $ 4,500
$ 200 $ 10,000
$ 193 14500

$ 193 14500
$ 210 12600
$ 201 27100

$ 201 $ 14,070.00
$ 201 14070
225 9000
210 23070

210 12600

12600
 Balance
cost amount
$ 180 $ 4,500

$ 180 $ 4,500
$ 200 $ 10,000

180 4500
200 10000
$ 210 12600

180 4500
200 9000

180 4500
200 9000
225 9000

180 4500
200 7000
11500