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Question:
During April, Leary Company sold 1000 units of Product Q. It's starting inventory and purchases during the month are given below. (Consider the periodic inventory system is used.)
April 1 Beginning inventory 200 units @ $1
April 5 Purchases 200 units @ $2
April 10 Purchases 200 units @ $3
April 15 Purchases 200 units @ $4
April 20 Purchase 200 units @ $5
April 25 Purchase 200 units @ $6
Evaluate the cost of the ending inventory under each of three methods: (a) average-cost, (b) LIFO, and (c) FIFO. Describe how you calculated each answer and include your explanations in the spreadsheet. To insert explanations, right-click any item (cell) in the desired field and click Insert Comment to insert your explanation.
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