90.2K

Verified Solution

Link Copied!

Question 8 Ayayai Distribution markets CDs of the performing artist Fishe. At the beginning of October, Ayayai had in beginning inventory 4,100 of Fishe's CDs with a unit cost of $7. During October, Ayayai made the following purchases of Fishe's CDs. Oct. 3 5,125 @ $8 Oct. 9 7,175 @ $9 Oct. 19 6,150 @ $10 Oct. 25 8,200 @ $11 During October, 22,345 units were sold. Ayayai uses a periodic inventory system. Determine the cost of goods available for sale. Cost of goods available for sale LINK TO TEXT VIDEO: SIMILAR PROBLEM Calculate weighted average cost per unit. (Round answer to 2 decimal places, e.g. 2.25.) Weighted average cost per unit Determine (1) the ending inventory and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods. (Round answers to 0 decimal places, e.g. 1,250. Use weighted-average unit cost rounded to 2 decimal places for computations.) FIFO LIFO AVERAGE-COST The ending inventory $ $ The cost of goods sold $ A LINK TO TEXT VIDEO: SIMILAR PROBLEM Which cost flow method results in (1) the highest inventory amount for the balance sheet and (2) the highest cost of goods sold for the income statement? (1 ) produces the highest inventory amount, $ (2) produces the highest cost of goods sold, $ Click if you would like to Show Work for this question: Open Show Work

Answer & Explanation Solved by verified expert

See Answer