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the following three identical units of Item P401C are purchased during April:
Item Beta Units Cost April 2 Purchase 1 $100
April 15 Purchase 1 $120
April 20 Purchase 1 $140
Total 3 $360 Average cost per unit $120($360 ÷ 3 units)
Assume that one unit is sold on April 27 for $300.
Question 1: Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost method.
Gross Profit Ending Inventory
a. First-in, first-out (FIFO) $ _______
b. Last-in, first-out (LIFO) $ _______
c. Weighted average cost $
Financial Statement Analysis and Preparation
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