Perpetual inventory system-compute gross profit earned

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Reference no: EM13793248

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year 2013 purchases and sales transactions.

Date Activities Units Acquired at Cost Units Sold at Retail

Jan. 1 Beginning inventory 600 units @ $ 60 /unit

Feb. 10 Purchase 480 units @ $ 57 /unit

Mar. 13 Purchase 120 units @ $ 42 /unit

Mar. 15 Sales 785 units @ $ 80 /unit

Aug. 21 Purchase 180 units @ $ 65 /unit

Sept. 5 Purchase 470 units @ $ 63 /unit

Sept. 10 Sales 650 units @ $ 80 /unit

Totals 1,850 units 1,435 units

Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification units sold consist of 600 units from beginning inventory, 380 from the February 10 purchase, 120 from the March 13 purchase, 130 from the August 21 purchase, and 205 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.)

Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.)

Reference no: EM13793248

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