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Periodic Inventory by Three Methods Dymac Appliances uses the periodic inventory system. Detais regarding the inventory of appliances at January 1, purchases invoices during the next 12 months, and the inventory count at December 31 are summarized as follows: Purchases Invoices Model Inventory, 1st January 1 2nd 3rd Inventory Count, December 31 A10 4 at 4 at $ 40 4 at $ 43 5 B15 8 at 4 at 73 3 at 79 6 at 86 7 E60 Iat 74 3 at 64 15 at 67 9 at 69 5 G83 7 at 226 6 at 234 Sat 244 10 at 243 334 12 at 77 10 at 79 16 at 86 16 at 82 13 $ 37 $82 M90 2 at 106 2 at 108 3 at 126 3 at 128 5 Q70 5 at 166 4 at 176 4 at 181 7 at 8 186 Required: 1. Determine the cost of the inventory on December 31 by the first in, first-out method, If the inventory of a particular model comprises one entire purchase plus a portion of another purchase acquired at a different unit cost, use a separate line for each purchase. If upits are in inventory at two different costs, enter the units PURCHASED MOST RECENTLY fest. Dymae Appliances Cost of the Inventory-FIFO Method December ai Model Quantity Unit Cost Total Cost A10 Previous Next ute iventory on December 31 by the first in first-out method If the inventory of a particular model comprises one entire purchase plus a portion of another purchase acquired at a different unit costa infor purchase. If units are in inventory at two different costs, enter the units PURCHASED MOST RECENTLY first Dymac Appliances Cost of the Inventory-FIFO Method December 31 Model Quantity Unit Cost Total Cost A10 $ A10 B15 B15 E60 G83 134 M90 M90 Q70 Q70 $ Total 2. Determine the cost of the inventory on December 31 by the last-in, first-out method cortion of another purchase acquired at a different unit cost, use a separate line for each d. Determine the cost of the inventory on December 31 by the tastin, first-out method. If the inventory of a particular model comprises one entire purchase plus a portion of another purchase acoured at a different unit cost, use a separate line for each purchase. If units are in inventory at two different costs, enter the OLDEST units first Dymac Appliances Cost of the Inventory-UFO Method December 31 Model Quantity Unit Cost Total Coat A10 $ $ A10 B15 E60 E60 GB3 G83 934 334 M90 M90 M90 070 070 ratai Total 3. Determine the cost of the inventory on December 31 by the weighted average cost method Dymac Appliances Cost of the Inventory-Weighted Average Method December 31 Model Quantity Unit Cost Total Cost A10 B15 E60 GB3 334 M90 070 Total 4a. Which inventory method would be preferred for income tax purposes in periods of rising prices? 4b. Which inventory method would be preferred for income tax purposes in periods of declining prices? Previous Next >

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