Financial Accounting 2 tutorial 1

On December 31. Under the periodic inventory system chose the correct answer for the following:

1. The cost of ending inventory According to weighted Average method

A. 7120
B. 7110
C. 7130
D. 7140
2. the cost of goods sold According to weighted Average method
A. 7150
B. 7120
C. 7130
D. 7110
3. The cost of ending inventory According to First-in, First-out method
A. 7980
B. 7990
C. 7970
D. 7982
4. the cost of goods sold According to First-in, First-out method
A. 6260
B. 6250
C. 6230
D. 6240
5. The cost of ending inventory According to Last-in, First-out method
A. 6260
B. 6250
C. 6230
D. 6240
6. the cost of goods sold According to Last-in, First-out method
A. 7980
B. 7990
C. 7970
D. 7982
 Weighted Average method

Step 1: ending inventory Step2: cost of goods sold

14220/180=79 cost of goods available for sale 14220
units Unit cost Total cost Less: ending inventory 7110
90 79 7110 cost of goods sold 7110

First-in, First-out method

Step 1: ending inventory Step2: cost of goods sold

cost of goods available for sale 14220
units Unit cost Total cost Less: ending inventory 7980
30 92 2760 cost of goods sold 6240
50 90 4500
10 72 720
7980
Last-in, First-out method

Step 1: ending inventory Step2: cost of goods sold

cost of goods available for sale14220
units Unit cost Total cost Less: ending inventory 6240
60 68 4080 cost of goods sold 7980
30 72 2160
6240
 Zara reports the following transactions for 2019:

Date units units Cost Total cost

Jan 1 Beginning inventory 100 20$ 2000$
May 12 Purchases 300 10 3000
Aug 14 Purchases 200 30 6000
Sep 18 Purchases 150 50 7500
Total units available for sale 750 18500$
Units in ending inventory 250
Units sold 500
On December 31. Under the periodic inventory system chose the correct answer for the following:

7. The cost of ending inventory According to weighted Average method

E. 6166
F. 6166.6
G. 6165
H. 6167
8. the cost of goods sold According to weighted Average method
E. 12333
F. 12333.1
G. 12334
H. 12333.4
9. The cost of ending inventory According to First-in, First-out method
E. 10500
F. 10400
G. 10300
H. 10600
10. the cost of goods sold According to First-in, First-out method
E. 7000
F. 8000
G. 9000
H. 6000
11. The cost of ending inventory According to Last-in, First-out method
I. 3600
J. 3500
K. 3400
L. 3600
12. the cost of goods sold According to Last-in, First-out method
I. 16000
J. 13000
K. 15000
L. 14000
 Weighted Average method

Step 1: ending inventory Step2: cost of goods sold

18500/750=24.6 cost of goods available for sale 18500
units Unit cost Total cost Less: ending inventory 6166.6
250 24.6 6166.6 cost of goods sold 12333.4

First-in, First-out method

Step 1: ending inventory Step2: cost of goods sold

cost of goods available for sale 18500
units Unit cost Total cost Less: ending inventory 10500
150 50 7500 cost of goods sold 8000
100 30 3000
10500
Last-in, First-out method

Step 1: ending inventory Step2: cost of goods sold

cost of goods available for sale18500
units Unit cost Total cost Less: ending inventory 3500
100 20 2000 cost of goods sold 15000
150 10 1500
3500