Aircard Corporation tracks the number of units purchased and

Aircard Corporation tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period as if it uses a periodic inventory system. The following are the transactions for the month of July July 1 July 5 July 13 July 17 July 25 July 27 Beginning Inventory Sold Purchased Sold Purchased Sold Units Unit Cost 2,000 $25 1,000 6,000 3,000 8,000 5,000 29 31 Calculate the cost of goods available for sale, ending inventory, and cost of goods sold if Aircard uses (a) FIFO, (b) LIFO, or (c) weighted average cost. (Round \"Cost per Unit\" to 2 decimal places.) Weighted Average Cost FIFO LIFO Cost of Goods Available for Sale Ending Inventory Cost of Goods Sold

Solution

Solution a:

Solution b:

Solution 3:

Computation of COGS and ending inventory - FIFO
Particulars	Cost of goods available for sale	Cost of goods sold	Ending Inventory
Nos of units	Unit Cost	Cost of goods available for sale	Nos of units sold	Unit Cost	Cost of goods sold	Nos of units in ending inventory	Unit Cost	Ending inventory
Beginning inventory	2000	$25.00	$50,000	2000	$25.00	$50,000.00	0	$25.00	$0.00
Purchases:
13-Jul	6000	$29.00	$174,000	6000	$29.00	$174,000.00	0	$29.00	$0.00
25-Jul	8000	$31.00	$248,000	1000	$31.00	$31,000.00	7000	$31.00	$217,000.00
Total	16000		$472,000	9000		$255,000.00	7000		$217,000.00