Question

Suppose that Crane Trading Post has the following inventory data: July 1 Beginning inventory 30 units at $15 $450 7 Purchases 106 units at $16 1696 22 Purchases 15 units at $17 255 $2401 The company uses a periodic inventory system. A physical count of merchandise inventory on July 31 reveals that there are 38 units on hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is ? $1778. ? $1823. ? $1755. $1702. 

          Suppose that Crane Trading Post has the following inventory data:
July 1
Beginning inventory
30 units at $15
$450
7
Purchases
106 units at $16
1696
22
Purchases
15 units at $17
255
$2401
The company uses a periodic inventory system. A physical count of merchandise inventory on July 31 reveals that there are 38 units on
hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is
? $1778.
? $1823.
? $1755.
$1702.
Show more…
Suppose that Crane Trading Post has the following inventory data: July 1 Beginning inventory 30 units at 15450 7 Purchases 106 units at 16 1696 22 Purchases 15 units at17 255 2401 The company uses a periodic inventory system. A physical count of merchandise inventory on July 31 reveals that there are 38 units on hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is ?1778. ? 1823. ?1755. 1702.

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Horngren’s Cost Accounting
Horngren’s Cost Accounting
Srikant M. Datar, Madhav V. Rajan 16th Edition
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Suppose that Crane Trading Post has the following inventory data: The company uses a periodic inventory system. A physical count of merchandise inventory on July 31 reveals that there are 38 units on hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is $1778. $1823. $1755. $1702. Suppose that Crane Trading Post has the following inventory data: July 1 Beginning inventory 30 units at$15 $450 7 Purchases 106 units at$16 1696 22 Purchases 15 units at$17 255 $2401 The company uses a periodic inventory system.A physical count of merchandise inventory on July 31 reveals that there are 38 units on hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is O$1778. O $1823. O $1755. O $1702.
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Transcript

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00:01 Lefour method of inventory valuation means last in first out.
00:09 January 1, beginning inventory, 370 units at the rate of $18 total will be $6660.
00:36 January 8, purchases, 350 units at the rate of $20, $7000.
00:53 Balance would be 370 of the previous one, $6660, 350 of the new one, $7000.
01:10 Total cost would be $13 ,660.
01:22 On 12th january, there is a sales, 620 units at the rate of $70 will be $43 ,400.
01:54 So, last in first out means it will come at out from this one and the remaining goods will be from this one.
02:04 So, the remaining would be 100 units of $18, $1800.
02:20 Now, our balance was 100 units at the rate of $18, $1800.
02:33 On 17th january, a purchase was made, 410 units at the rate of $22, $9020.
02:49 It will be added to the balance, 410, 22, 9020 and the total cost will be $10 ,820.
03:01 Number of goods, 510.
03:06 On 23 january, a sales was made, 305 units at the rate of $70, $21 ,350...
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