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    Computing Cost of Sales and Ending Inventory

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    Computing Cost of Sales and Ending Inventory
    Stocken Company has the following financial records for the current period.

    Units Unit Cost
    Beginning Inventory 100 $ 46
    Purchases: #1 650 42
    #2 550 38
    #3 200 36

    Ending inventory is 350 units. Compute the ending inventory and the cost of goods sold for the current period using (a) first-in, first out, (b) average cost, and (c) last-in, last out.
    (a) First-in, first-out
    Ending inventory $

    Cost of goods sold $

    (b) Average cost
    Ending inventory $
    Cost of goods sold $

    (c) Last-in, first-out
    Ending inventory $
    Cost of goods sold $

    © BrainMass Inc. brainmass.com May 20, 2020, 11:55 pm ad1c9bdddf
    https://brainmass.com/business/accounting/computing-cost-of-sales-and-ending-inventory-598879

    Solution Summary

    This solution shows how to calculate cost of goods sold and ending inventory using the first-in first-out method, the average cost and the last-in first-out method.

    $2.19

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