Laker Company reponed the follawing January purchases and sa

Laker Company reponed the follawing January purchases and saes data for its only product Units sold at Retal 11D unit $1850 90 unis $16.50 Units Acqred at Cost 150 units a 1 Baginning nventory Jan 20 Puchose Jan 30 Puchasc 57.50 = ? 1125 BO units $650-520 2.845 200 units The company uscsaperiodic inwentory syatem. For soocific identufication,nding inventory consits of 230 units, where 200arfrom the January 30 purchase,5 ane from the Jaruary 20 purchase, and 25 anc ram beginning iventory. 2.00 points Required 1. Complete the table to determine the coet assigned to endirg inventory and to cost af goods sold using specifc identncation. Round cost per unit to 2 decimal places.) Cost of Goodsof units Cost Available fr Cost per per Cost of unit Gaods Sald Cost per Ending in ending unitInventory Boginring ivenbory Purchases an. 30

Solution

(1) Specific Identification:-

Cost of goods available for sale

Cost of Goods sold

Ending Inventory

No of Units

Cost per unit

Cost of goods available for sale

No of Units sold

Cost per unit

Cost of goods sold

No of units in ending inventory

Cost per unit

Ending Inventory

Beginning Inventory

150

7.50

1125

125

7.5

937.5

25

7.5

187.5

Purchases:-

Jan 20

80

6.5

520

75

6.5

487.5

5

6.5

32.5

Jan 30

200

6

1200

----

----

200

6

1200

Total

430

2845

200

1425

230

1420

(2) Weighted Average:-

Cost of goods available for sale

Cost of Goods sold

Ending Inventory

No of Units

Average Cost per unit

Cost of goods available for sale

No of Units sold

Average Cost per unit

Cost of goods sold

No of units in ending inventory

Average Cost per unit

Ending Inventory

Beginning Inventory

150

6.616279

992.44

125

6.616279

827

25

6.616279

165.41

Purchases:-

Jan 20

80

6.616279

529.30

75

6.616279

496

5

6.616279

33.08

Jan 30

200

6.616279

1323.26

----

----

200

6.616279

1323.26

Total

430

2845

200

1323

230

1522

Average cost per unit = (Total of units * cost)/Total no of units

    = [(150 * 7.5) + (80 * 6.5) + (200 * 6)] / 430 = 6.616279

(3) FIFO:-

Cost of goods available for sale

Cost of Goods sold

Ending Inventory

No of Units

Cost per unit

Cost of goods available for sale

No of Units sold

Cost per unit

Cost of goods sold

No of units in ending inventory

Cost per unit

Ending Inventory

Beginning Inventory

150

7.50

1125

150

7.5

1125

Purchases:-

Jan 20

80

6.5

520

50

6.5

325

30

6.5

195

Jan 30

200

6

1200

----

----

200

6

1200

Total

430

2845

200

1450

230

1395

(4) LIFO:-

Cost of goods available for sale

Cost of Goods sold

Ending Inventory

No of Units

Cost per unit

Cost of goods available for sale

No of Units sold

Cost per unit

Cost of goods sold

No of units in ending inventory

Cost per unit

Ending Inventory

Beginning Inventory

150

7.50

1125

120

7.5

900

30

7.5

225

Purchases:-

Jan 20

80

6.5

520

80

6.5

520

Jan 30

200

6

1200

----

----

200

6

1200

Total

430

2845

200

1420

230

1425

	Cost of goods available for sale	Cost of Goods sold	Ending Inventory
	No of Units	Cost per unit	Cost of goods available for sale	No of Units sold	Cost per unit	Cost of goods sold	No of units in ending inventory	Cost per unit	Ending Inventory
Beginning Inventory	150	7.50	1125	125	7.5	937.5	25	7.5	187.5
Purchases:-
Jan 20	80	6.5	520	75	6.5	487.5	5	6.5	32.5
Jan 30	200	6	1200	----		----	200	6	1200
Total	430		2845	200		1425	230		1420