Swifty Corporation sells one product and uses a perpetual inventory system. The beginning inventory consisted of 79 units that cost $18 per unit. During the current month, the company purchased 485 units at $18 each. Sales during the month totaled 356 units for $43 each. What is the cost of goods sold using the LIFO method?

Question

Business

Hayden Fuller

30 August, 05:26

Swifty Corporation sells one product and uses a perpetual inventory system. The beginning inventory consisted of 79 units that cost $18 per unit. During the current month, the company purchased 485 units at $18 each. Sales during the month totaled 356 units for $43 each. What is the cost of goods sold using the LIFO method?

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Answers (1)

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Matthias Schmidt · Answer 1

Cost of goods sold = $6408

Explanation:

given data

beginning inventory = 79 units

cost = $18 per unit

purchased = 485 units

each cost = $18

totaled = 356 units

Sales = $43 each

to find out

cost of goods sold using the LIFO method

solution

we get here Cost of goods sold using LIFO would be here

Cost of goods sold = 356 units @ $18 per unit ... 1

Cost of goods sold = 356 * $18

Cost of goods sold = $6408