Compute the Earning After Tax using
both FIFO & LIFO inventory evaluation methods from the
following data:
Revenue...
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Finance
Compute the Earning After Tax usingboth FIFO & LIFO inventory evaluation methods from thefollowing data:
Revenue is assumed at 500 units that sell for $300.00 perunit
Cost of sales
Beginning inventory
200 units @$55.00 per unit
Purchase of
250 units @ $65.00 per unit
Purchase of
210 units @ $70.00 per unit
Purchase of
90 units @$75.00 per unit
Ending inventory
???? units ( not a mistake you must determine what the endingdollar inventory and units are)
Operating expenses
$8,750.00
Income tax rate
20% of Gross Profit
Answer & Explanation
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4.4 Ratings (919 Votes)
FIFO500 units are sold Out of these 200 are from openinginventory 250 from the first purchase and 50 from the secondpurchaseCost of sales opening purchases closing 11000 37700 17950
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