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E$7-5($Algo$)$ Calculating Ending Inventory and Cost of Goods Sold Under FIFO, LIFO, and Average Cost

LO$7-2$

Nittany Company uses a periodic inventory system. At the end of the annual accounting period, December $31$ of the current year, the

accounting records provided the following information for product $1$ :

Inventory, December $31,$ prior year

For the current year:

Purchase, March $21$

Purchase, August $1$

Inventory, December $31,$ current year

Required:

Compute ending inventory and cost of goods sold for the current year under FIFO, LIFO, and average cost inventory costing methods.

Note: Round "Average cost per unit" to $2$ decimal places and final answers to nearest whole dollar amount.Nittany Company uses a periodic inventory system. At the end of the annual accounting period, December $31$ of the current year, the accounting records provided the following information for product $1$:

Units Unit Cost

Inventory, December $31,$ prior year $1,920$ $ $4$

For the current year:

Purchase, March $215,0206$

Purchase, August $12,8007$

Inventory, December $31,$ current year $4,140$

Required:

Compute ending inventory and cost of goods sold for the current year under FIFO, LIFO, and average cost inventory costing methods.

Note: Round "Average cost per unit" to $2$ decimal places and final answers to nearest whole dollar amount.

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