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FIFO/LIFO

Required information Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Also, on December 15, Monson sells 30 units for $25 each. Purchases on December 7 Purchases on December 14 Purchases on December 21 20 units @ $10.00 cost 36 units @ $15.00 cost 30 units $18.00 cost Required: Monson sells 30 units for $25 each on December 15. Monson uses a perpetual inventory system. Determine the costs assigned to the December 31 ending inventory when costs are assigned based on LIFO. Perpetual LIFO: Cost of Goods Sold Inventory Balance Goods purchased Cost of Goods Available for unit Sale Date # of units Cost per #of units sold Cost per Cost of Goods Sold Cost per unit #of units unit Inventory Balance December 7 $ 0.00 December 14 $ 0.00 $ 0.00 December 15 December 21 $ 0.00 Totals Required information Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Also, on December 15, Monson sells 30 units for $25 each. Purchases on December 7 Purchases on December 14 Purchases on December 21 20 units @ $10.00 cost 36 units @ $15.00 cost 30 units @ $18.00 cost Required: Monson uses a perpetual inventory system. Determine the costs assigned to the December 31 ending inventory based on the FIFO method. Perpetual FIFO: Goods Purchased # of Units Date Cost Per Unit Cost of Goods Sold of Units Cost Per Cost of Sold Unit Goods Sold Goods Purchased Inventory Balance # of Units Cost Per Inventory Unit Balance December 7 December 14 December 15 December 21 Totals

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