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Assignment 6
November 10, 2021
Following table shows inventory data of ABC T-shirts Company -
| Date | Explanation | Units | Unit Cost | Total Cost |
| Jan 1 | Beginning Inventory | 200 | $12 | $2,400 |
| April 15 | Purchase | 350 | 14 | 4,900 |
| June 15 | Purchase | 200 | 11 | 2,200 |
| Nov 15 | Purchase | 300 | 15 | 4,500 |
| | Total units available for sale | 1,050 | | |
| | Units in ending inventory | 500 | | |
| | Units sold | | | |
a. Using FIFO, calculate cost of goods sold in the table below
| Date | Units | Unit Cost | Total Cost |
| Jan 1 | 200 | 12 | 2400 |
| April 15 | 350 | 14 | 4900 |
| June 15 | 200 | 11 | 2200 |
| Total | 750 | | |
b. Using LIFO, calculate cost of goods sold in the table below
| Date | Units | Unit Cost | Total Cost |
| | | | |
| | | | |
| | | | |
| Total | | | |
c. If company earns $8,000 cash selling 550 shirts, then complete the following journal entries
(Record revenue and Cash or Accounts receivable)
Using FIFO (Record COGS and Inventory)
Using LIFO (Record COGS and Inventory
d. Profit using FIFO: Profit =
Profit using LIFO: Profit =
Answer & Explanation
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