Carlson Auto Dealers Inc. sells a handmade automobile as its only product. Each automobile is...
60.1K
Verified Solution
Link Copied!
Question
Accounting
Carlson Auto Dealers Inc. sells a handmade automobile as its only product. Each automobile is identical; however, they can be distinguished by their unique ID number. At the beginning of 2021, Carlson had three cars in inventory, as follows:
Car ID
Cost
203
$
54,000
207
54,000
210
57,000
During 2021, each of the three autos sold for $84,000. Additional purchases (listed in chronological order) and sales for the year were as follows:
Car ID
Cost
Selling Price
211
$
54,000
$
84,000
212
54,000
87,000
213
55,500
not sold
214
57,000
90,000
215
60,000
94,500
216
61,500
not sold
217
63,000
99,000
218
63,300
100,500
219
66,000
not sold
a) Calculate ending inventory and cost of goods sold assuming FIFO and a periodic inventory system.
b) Calculate ending inventory and cost of goods sold assuming the average cost method and a periodic inventory system.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
