Professional Documents
Culture Documents
Mar 1
Beginning Inventory
Purchase
Sale
11
Purchase
16
Purchase
20
29
Sale
Sale
Solution
FIFO Periodic
Units Available for Sale
Units Sold
Units in Ending Inventory
Cost of Goods Sold
Sales From Mar 1
Inventory
Sales From Mar 5
Purchase
Sales From Mar 11
Purchase
Sales From Mar 16
Purchase
= 68 + 140 + 40 + 78
= 326
= 94 + 116 + 62
= 326 272
= 272
= 54
Unit
s
Unit Cost
Total
68
$15.00
$1,020
140
$15.50
$2,170
40
$16.00
$640
24
$16.50
$396
272
Ending Inventory
Inventory From Mar 16
Purchase
$4,226
Unit
s
Unit Cost
Total
54
$16.50
$891
FIFO Perpetual
Purchases
Date
Mar
1
5
Units
140
Unit Cost
$15.50
Total
Unit
s
Sales
Unit
Cost
Total
$2,170
68
$15.00
26
$15.50
$1,02
0
$403
Unit
s
Balance
Unit
Cost
68
$15.00
68
$15.00
140
$15.50
114
$15.50
Total
$1,02
0
$1,02
0
$2,17
0
$1,76
7
11
16
40
78
$16.00
$16.50
$640
$1,287
20
114
$15.50
40
$16.00
114
$15.50
40
$16.00
78
$16.50
114
$15.50
$1,76
7
38
$16.00
$16.00
$32
78
$16.50
38
24
$16.00
$16.50
$608
$396
54
$16.50
29
$1,76
7
$640
$1,76
7
$640
$1,28
7
$608
$1,28
7
$891
Quantity
Actual
Actual
Change
Unit Cost
Total Cost
Beginning inventory
Sale
Purchase
Sale
Purchase
Ending inventory
+150
$220
$33,000
-125
--
--
+200
270
54,000
-150
--
--
+100
290
29,000
= 175
Inventory
Inventory
Moving-
Total
Average
Cost
Unit Cost
--
$33,000
$220.00
Units
on Hand
Beginning inventory
150
--
25
--
27,500
5,500
220.00
225
54,000
--
59,500
264.44
75
--
39,666
19,834
264.44
175
29,000
--
48,834
279.05
Note that the cost of goods sold of $67,166 and the ending inventory balance of $48,834 equal $116,000,
which matches the total of the costs in the original example. Thus, the totals are the same, but the
moving weighted average calculation results in slight differences in the apportionment of costs between
the cost of goods sold and ending inventory.