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Question

The following information is available for Gumbel Company:


Beginning inventory 500 units at

$4

First purchase 800 units at $5

Second purchase 400 units at $6


Assume that Gumbel uses a periodic inventory system and that there are 700 units left at the end of the month.



36. Compute the cost of the ending inventory under the

a.  FIFO method.___________________

b.  LIFO method._ __________________



37. Using the information above, compute each of the following under the average cost method:

a.  Cost of the ending inventory.________________

b.  Cost of goods sold.____________________

Top Answer

36 a. Cost of the ending inventory under the FIFO method $3,900 b.... View the full answer

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