ACD Company was formed on December 1, 2018. The following information is available from ACD's inventory...

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Accounting

ACD Company was formed on December 1, 2018. The followinginformation is available from ACD's inventory record for ProductX.
                                                                                                              Units        Unit Cost
           January 1, 2019 (beginninginventory)                                     1,600            £18.00
           Purchases:
                 January 5,2019                                                                   2,600            £20.00
                 January 25,2019                                                                 2,400            £21.00
                 February 16,2019                                                               1,000            £22.00
                 March 15,2019                                                                   1,800            £23.00
A physical inventory on March 31, 2019, shows 2,500 units onhand.
Instructions
Prepare schedules assuming the periodic method to compute the1/cost of goods sold and 2/the ending inventory at March 31, 2019,under each of the following inventory methods:
(a) FIFO.
(b) Weighted-average.
(c) LIFO.

Answer & Explanation Solved by verified expert

4.5 Ratings (1118 Votes)

Units Per unit Cost Opening Stock A 1600 18 28800 PurchasesB 05012019 2600 20 52000 25012019 2400 21 50400 16022019 1000 22 22000 15032019 1800 23 41400 7800 165800 Closing Stock C 2500 Sales ABC 6900 FIFO In this method sales is first utilised from opening stock and then 1st purchases See Answer

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