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Ch6 inventories h (a) COST OF GOODS AVAILABLE FOR SALE Date Explanation Units Unit Cost Total Cost March 1 Beginning Inventory 1,500 \$ 7 \$ 10,500 5 Purchase 3,000 8 24,000 13 Purchase 5,500 9 49,500 21 Purchase 4,000 10 40,000 26 Purchase 2,000 11 22,000 Total 16,000 \$146,000 (b) FIFO (1) Ending Inventory (2) Cost of Goods Sold Date Units Unit Cost Total Cost Cost of goods available for sale \$146,000 March 26 2,000 \$11 \$22,000 Less: Ending inventory 37,000 21 1,500 10 15,000 3,500 * \$37,000 Cost of goods sold \$109,000 *16,000 – 12,500 = 3,500 Proof of Cost of Goods Sold Date Units Unit Cost Total Cost March 1 1,500 \$ 7 \$ 10,500 5 3,000 8 24,000 13 5,500 9 49,500 21 2,500 10 25,000 12,500 \$109,000

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AVERAGE-COST (1) Ending Inventory (2) Cost of Goods Sold \$146,000 ÷ 16,000 = \$9.125 Cost of goods available for sale \$146,000 Units Unit Cost Total Cost Less: Ending inventory 31,938 3,500 \$9.125 \$31,938 * Cost of goods sold \$114,062 *rounded to nearest dollar Proof of Cost of Goods Sold 12,500 units X \$9.125 = \$114,062
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Ch6 inventorieså¯¦ç¿’è§£ç­”

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