A company provides you the following information related to inventories for the month of Chaitra. Chaitra 1: Beginning inventory 500 units @ Rs.10…
BBS Financial Accounting and Analysis · 2082 · Solved Question with Answer
A company provides you the following information related to inventories for the month of Chaitra.
Chaitra 1: Beginning inventory 500 units @ Rs.10 each
Chaitra 9: Purchased 1,000 units @ Rs.12 each
Chaitra 14: Sold 1,200 units @ Rs.15 each
Chaitra 18: Purchased 500 units @ Rs.13 each
Chaitra 24: Purchased 200 units @ Rs.11 each
Chaitra 31: Sold 500 units @ Rs.20 each.
Required:
a. Cost of goods sold, ending inventory and gross profit under weighted average costing method.
b. Cost of goods sold, ending inventory and gross profit under LIFO method