Ask Question
26 November, 05:22

Eastview Company uses a periodic LIFO inventory system, and has the following purchases and sales: January 1 150 units were purchased at $9 per unit. January 17 120 units were sold. January 20 160 units were purchased at $11 per unit. January 29 150 units were sold. What is the value of ending inventory?

+1
Answers (1)
  1. 26 November, 07:26
    0
    Ending inventory = $360

    Explanation:

    Giving the following information:

    January 1: 150 units for $9 per unit.

    January 17: 120 units were sold.

    January 20: 160 units were purchased at $11 per unit.

    January 29: 150 units were sold.

    Under LIFO (last-in, first-out) method, the value of ending inventory is the value of the first units incorporated.

    First, we need to calculate the ending inventory in units:

    Ending inventory in units = total units - units sold

    Ending inventory in units = (150 + 160) - (120 + 150) = 40 units

    Ending inventory ($) = 40*$9 = $360
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Eastview Company uses a periodic LIFO inventory system, and has the following purchases and sales: January 1 150 units were purchased at $9 ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers