Fuses
on 2/1/20 i purchased [email protected]
on 5/6/20 i purchased [email protected]
on 9/18/20 i purchased [email protected]
i have 2481 on hand
what is the ending inventory value for fuses using FIFO?
A)$2,977.20
B)$3,044.33
C)$3166.44
D)$3299.73
my answer is c
please help
Cases
on 2/1/20 i purchased [email protected]
on 5/6/20 i purchased [email protected]
on 9/18/20 i purchased [email protected] i have 1304 on hand
what is the ending inventory value for the cases using LIFO?
A)$2999.20
B)$3025.11
C)$3054.83
D)$3064.40
my answer is b
please help
my answer is
someone please help
Can someone please help
writeacher can you help me
To calculate the ending inventory value using the FIFO (First-In, First-Out) method, you need to assume that the oldest purchases are sold first, and the most recent purchases are still remaining in your inventory.
First, let's calculate the cost of the purchases:
Purchase 1 (2/1/20):
Quantity = 5,000
Cost per unit = $1.20
Purchase 2 (5/6/20):
Quantity = 2,500
Cost per unit = $1.24
Purchase 3 (9/18/20):
Quantity = 1,000
Cost per unit = $1.33
Next, calculate the cost of the units sold:
Units sold = Total units purchased - Units on hand
Units sold = (5,000 + 2,500 + 1,000) - 2,481
Units sold = 8,500 - 2,481
Units sold = 6,019
Now, determine the cost of the units sold using the FIFO method:
For FIFO, we sell the oldest units first. In this case, the oldest units were purchased on 2/1/20.
Units sold from Purchase 1 = minimum(Quantity of Purchase 1, Units sold) = minimum(5,000, 6,019) = 5,000
Units remaining from Purchase 1 = Quantity of Purchase 1 - Units sold from Purchase 1 = 5,000 - 5,000 = 0
Units sold from Purchase 2 = minimum(Quantity of Purchase 2, Units sold) = minimum(2,500, 6,019 - 5,000) = minimum(2,500, 1,019) = 1,019
Units remaining from Purchase 2 = Quantity of Purchase 2 - Units sold from Purchase 2 = 2,500 - 1,019 = 1,481
Units sold from Purchase 3 = Units sold - Units sold from Purchase 1 - Units sold from Purchase 2 = 6,019 - 5,000 - 1,019 = 0 (since there are no units remaining from Purchase 1 and 2)
Finally, calculate the ending inventory value:
Ending inventory value = Units remaining * Cost per unit
Ending inventory value = (Units remaining from Purchase 1 * Cost per unit of Purchase 1) + (Units remaining from Purchase 2 * Cost per unit of Purchase 2) + (Units remaining from Purchase 3 * Cost per unit of Purchase 3)
Ending inventory value = (0 * $1.20) + (1,481 * $1.24) + (1,000 * $1.33)
Ending inventory value = $0 + $1,834.44 + $1,330
Ending inventory value = $3,164.44
Therefore, the correct answer is C) $3,166.44.