Reference no: EM132648218

The accounting records of Redman Sporting Goods Inc., a wholesaler of various types of sports equipment, shows the following data regarding the purchases and sales of a particular model of baseball bat during the past year as follows

                             Units                   Cost per unit

Beginning inventory      60                         $28

Purchases:

Apr 15                       180                           32

Jun 22                        300                           34

Sep 30                         60                             35

Nov 15                          50                               36

A physical count of inventory at the end of the period shows that 80 units are still on hand. Redman uses the periodic inventory system.

Problem 1: Determine the cost that should be included in cost of goods sold and ending inventory if Redman uses the following:

A. FIFO

B. LIFO

C. Moving Average