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Alta Ski Companys inventory records contained the following information regarding its latest ski model. The company uses a periodic inventory system.

Beginning inventory, January 1, 2021	600	units @ $80 each
Purchases:
January 15	1,000	units @ $95 each
January 21	800	units @ $100 each
Sales:
January 5	400	units @ $120 each
January 22	800	units @ $130 each
January 29	400	units @ $135 each
Ending inventory, January 31, 2021	800	units

Required: 1a. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 1b. Which method will result in the highest ending inventory balance? 2. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. 3a. Assume that inventory costs were declining during January. The inventory purchased on January 15 had a unit cost of $70, and the inventory purchased on January 21 had a unit cost of $65. All other information is the same. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 3b. Which method will result in the highest ending inventory balance? 3c. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods.

3a. Assume that inventory costs were declining during January. The inventory purchased on January 15 had a unit cost of $70, and the inventory purchased on January 21 had a unit cost of $65. All other information is the same. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 3b. Which method will result in the highest ending inventory balance? 3c. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Req 1A and 1B Reg 2 Req 3A and 3B Req 3C Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Cost of Goods Available for Sale FIFO # of units Cost per cost of Goods Cost of Goods Sold - Periodic FIFO Ending Inventory - Periodic FIFO # of units Cost per Cost of # of units Cost per Ending sold unit unit Goods Sold | in ending unit Inventory inventory $ 80 $ 80 $ Available for Sale $ 48,000 unit 600 $ 80 Beginning Inventory Purchases: January 15 January 21 Total 1,000 800 2,400 $ $ 95 100 95,000 80,000 223,000 $ $ 95 100 $ $ 0 Cost of Goods Available for Sale $ 95 100 $ 0 Cost of Goods Sold - Periodic LIFO # of units Cost per Cost of sold unit Goods Sold $ 80 $ 0 LIFO # of units Cost per cost of Goods " unit " $ 80 Available for Sale $ 48,000 Ending Inventory - Periodic LIFO # of units Cost per Ending in ending unit Inventory inventory | $ 80 600 Beginning Inventory Purchases: January 15 January 21 Total 1,000 800 2,400 S $ 95 100 95,000 80,000 223,000 $ $ 95 100 $ $ 95 100 $ 3c. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Req 1A and 1B Req 2 Req 3A and 3B Req 3C Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Cost of Goods Sold - Periodic FIFO Inventory Balance - Periodic FIFO FIFO: Cost of Goods Available for Sale - FIFO Cost of # of Cost per Goods units unit Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory $ 0.00 $ 0.00 $ 0 Beg. Inventory Purchases: January 15 January 21 Total 0.00 0. 000 $ 0.00 0.00 0 $ 0 0 0 0 $ Cost of Goods Sold - Periodic LIFO Inventory Balance - Periodic LIFO LIFO: Cost of Goods Available for Sale -LIFO Cost of # of Cost per Goods units unit Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory $ 0.00 $ 0.00 $ 0 Beg. Inventory Purchases: January 15 January 21 Total 0 0.00 0. 000 $ 0.00 0.00 0 $ 0 0 0 0 $ Req 3A and 3B Req30)

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