The Hospital for Ordinary Surgery uses pharmaceuticals for i

The Hospital for Ordinary Surgery uses pharmaceuticals for its patients. It started the year on January 1, with an inventory of 1,000 doses of an antibiotic drug that cost $17 per dose. On January 2, it purchased another 300 does for $21 each. From January 3 through June 30 it used 800 doses. On July 1, it bought 500 more doses at $23 each. From July 2 through the end of the year it used 400 doses. What is the inventory value at the end of the year, assuming FIFO? What is the value assuming LIFO? Clearly label the calculations of the inventory amounts using Excel. Use formulas to calculate the FIFO and LIFO inventories and format the cells to insert a comma if there is more than three numbers and round to the nearest whole number.  PLEASE DO A SPREADSHEET FOR THIS

Solution

Beg Balance: 1000 x 17 = 17000
Purchases: 300 x 21 = 6300
Balance: = 23300
Used 1: 800 x 17 = 13600
Balance: (200 x 17)+ (300 x 21) = 9700
Purchases: 500 x 23 = 11500
Balance: (200 x 17)+(300 x 21)+(500 x 23)= 21200
Used 2: (200 x 17)+ (200 x 21) 7600
Balance : (100 x 21)+ (500 x 23) 13600 ---- Ending Balance