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Cost of Goods Sold and Ending Inventory

1. Calculate Cost of Goods Sold (COGS) and Ending Inventory (EI) under FIFO, LIFO, and W/A (Periodic Inventory).

The units of an item available for sale during the year were as follows:

Jan. 1 Inventory 6 units at $28
Feb. 4 Purchase 12 units at $30
July 20 Purchase 14 units at 32
Dec. 30 Purchase 8 units at $33

There are 11 units of the item in the physical inventory at December 31.

2. If the sale price per item is $50 each, how much is the gross margin under each method?

I have the first portion done (Question 1) on the attachment. Question 2 I'm confused.

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Response:
Jan. 1 Inventory 6 units at $28= 168
Feb. 4 Purchase 12 units at $30= 360
July 20 Purchase 14 units at $32= 448
Dec. 30 Purchase 8 units at $33= 264
40 units $1240  Cost of Goods Available for Sale
-Ending Inv 11
Sold 29

Cost of ending inventory under FIFO: -
Date of ...

Solution Summary

Solution contains calculations of Cost of Goods Sold and Ending Inventory (EI) under FIFO, LIFO, and W/A (Periodic Inventory).

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