90.2K

Verified Solution

Link Copied!

Lopez Company reported the following current-year data for its only product. The company uses a periodic inventory system, and its ending inventory consists of 150 units-50 from each of the last three purchases. Jan. 1 Beginning inventory Mar. 7 Purchase July 28 Purchase Oct. 3 Purchase Dec. 19 Purchase Totals 96 units @ $2.00 = $ 192 220 units @ $2.25 = 495 544 units a $2.50 = 1,360 480 units @ $2.80 = 1,344 160 units @ $2.90 464 1,500 units $3,855 = (a-d) Determine the cost assigned to ending inventory and to cost of goods sold for the following. (e) Which method yields the highest net income? Complete this question by entering your answers in the tabs below. Req A to D Reg E Determine the cost assigned to ending inventory and to cost of goods sold for the following. (Do not round intermediate calculations and round your answers to 2 decimal places.) Ending Inventory $ 96.00 Cost of Goods Sold $ 192.00 (a) Specific identification (b) Weighted average (c) FIFO (d) LIFO Lopez Company reported the following current-year data for its only product. The company uses a periodic inventory system, and its ending inventory consists of 150 units-50 from each of the last three purchases. - = = Jan. 1 Beginning inventory Mar. 7 Purchase July 28 Purchase Oct. 3 Purchase Dec. 19 Purchase Totals 96 units @ $2.00 220 units @ $2.25 544 units a $2.50 480 units a $2.80 160 units a $2.90 1,500 units $ 192 495 1,360 1,344 464 $3,855 = (a-d) Determine the cost assigned to ending inventory and to cost of goods sold for the following. (e) Which method yields the highest net income? Complete this question by entering your answers in the tabs below. Req A to D Req E Which method yields the highest net income? Which method yields the highest net income?

Answer & Explanation Solved by verified expert

See Answer