Boyce Company’s beginning inventory and purchases during the fiscal year ended September 30, 20-2, were as follows — 20-2

Boyce Company’s beginning inventory and purchases during the fiscal year ended September 30, 20-2, were as follows:

.:.

Use the following information for the specific identification method.

There are 900 units of inventory on hand on September 30, 20-2. Of these 900 units:

50 are from October 18, 20-1 ……… 1st purchase

300 are from January 12, 20-2 …….. 3rd purchase

100 are from March 17 ……………. 4th purchase

200 are from June 2 ……………….. 5th purchase

50 are from August 21 …………….. 6th purchase

200 are from September 27 ………... 7th purchase

REQUIRED

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Calculate the total amount to be assigned to the cost of goods sold for the fiscal year ended September 30, 20-2, and ending inventory on September 30, 20-2, under each of the following periodic inventory methods:

1. FIFO

2. LIFO

3. Weighted-average (round calculations to two decimal places)

4. Specific identification

SOLUTION:

1. FIFO Inventory Method

Date		Cost of Goods Sold	Cost of Goods Sold	Cost of Goods Sold	Cost of Ending Inventory	Cost of Ending Inventory	Cost of Ending Inventory
20-1/ 20-2		Units	Unit Price	Total	Units	Unit Price	Total
Oct. 1	Beg. inv.	400	$15.00	$ 6,000		$15.00	$ 0
Oct. 18	1st purchase	300	16.50	4,950		16.50	0
Nov. 25	2nd purchase	600	17.00	10,200		17.00	0
Jan. 12	3rd purchase	700	17.25	12,075		17.25	0
Mar. 17	4th purchase	800	18.00	14,400		18.00	0
June 2	5th purchase	300	19.00	5,700	100	19.00	1,900
Aug. 21	6th purchase		21.00	0	300	21.00	6,300
Sept. 27	7th purchase		21.75	0	500	21.75	10,875
	Total	3,100		$53,325	900		$19,075
Alternative calculation if given goods available for sale and CGS or EI.	Alternative calculation if given goods available for sale and CGS or EI.	Cost of goods available for sale $ 72,400 Less cost of ending inventory (19,075) Cost of goods sold $ 53,325	Cost of goods available for sale $ 72,400 Less cost of ending inventory (19,075) Cost of goods sold $ 53,325	Cost of goods available for sale $ 72,400 Less cost of ending inventory (19,075) Cost of goods sold $ 53,325	Cost of goods available for sale $ 72,400 Less cost of goods sold (53,325) Cost of ending inventory $ 19,075	Cost of goods available for sale $ 72,400 Less cost of goods sold (53,325) Cost of ending inventory $ 19,075	Cost of goods available for sale $ 72,400 Less cost of goods sold (53,325) Cost of ending inventory $ 19,075

2. LIFO Inventory Method

Date		Cost of Goods Sold	Cost of Goods Sold	Cost of Goods Sold	Cost of Ending Inventory	Cost of Ending Inventory	Cost of Ending Inventory
20-1/ 20-2		Units	Unit Price	Total	Units	Unit Price	Total
Oct. 1	Beg. inv.		$15.00	$ 0	400	$15.00	$ 6,000
Oct. 18	1st purchase		16.50	0	300	16.50	4,950
Nov. 25	2nd purchase	400	17.00	6,800	200	17.00	3,400
Jan. 12	3rd purchase	700	17.25	12,075		17.25	0
Mar. 17	4th purchase	800	18.00	14,400		18.00	0
June 2	5th purchase	400	19.00	7,600		19.00	0
Aug. 21	6th purchase	300	21.00	6,300		21.00	0
Sept. 27	7th purchase	500	21.75	10,875		21.75	0
	Total	3,100		$58,050	900		$14,350
Alternative calculation if given goods available for sale and CGS or EI.	Alternative calculation if given goods available for sale and CGS or EI.	Cost of goods available for sale $ 72,400 Less cost of ending inventory (14,350) Cost of goods sold $ 58,050	Cost of goods available for sale $ 72,400 Less cost of ending inventory (14,350) Cost of goods sold $ 58,050	Cost of goods available for sale $ 72,400 Less cost of ending inventory (14,350) Cost of goods sold $ 58,050	Cost of goods available for sale $ 72,400 Less cost of goods sold (58,050) Cost of ending inventory $ 14,350	Cost of goods available for sale $ 72,400 Less cost of goods sold (58,050) Cost of ending inventory $ 14,350	Cost of goods available for sale $ 72,400 Less cost of goods sold (58,050) Cost of ending inventory $ 14,350
3.	Weighted-average
	Average cost per unit: $72,400 4,000 units = $18.10
	Ending inventory = 900 units @ $18.10 = $16,290
	Cost of goods sold = 3,100 units @ $18.10 = $56,110

4. Specific Identification Method

Date		Cost of Goods Sold	Cost of Goods Sold	Cost of Goods Sold	Cost of Ending Inventory	Cost of Ending Inventory	Cost of Ending Inventory
20-1/ 20-2		Units	Unit Price	Total	Units	Unit Price	Total
Oct. 1	Beg. inv.	400	$15.00	$ 6,000		$15.00	$ 0
Oct. 18	1st purchase	250	16.50	4,125	50	16.50	825
Nov. 25	2nd purchase	600	17.00	10,200		17.00	0
Jan. 12	3rd purchase	400	17.25	6,900	300	17.25	5,175
Mar. 17	4th purchase	700	18.00	12,600	100	18.00	1,800
June 2	5th purchase	200	19.00	3,800	200	19.00	3,800
Aug. 21	6th purchase	250	21.00	5,250	50	21.00	1,050
Sept. 27	7th purchase	300	21.75	6,525	200	21.75	4,350
	Total	3,100		$55,400	900		$17,000
Alternative calculation if given goods available for sale and CGS or EI.	Alternative calculation if given goods available for sale and CGS or EI.	Cost of goods available for sale $ 72,400 Less cost of ending inventory (17,000) Cost of goods sold $ 55,400	Cost of goods available for sale $ 72,400 Less cost of ending inventory (17,000) Cost of goods sold $ 55,400	Cost of goods available for sale $ 72,400 Less cost of ending inventory (17,000) Cost of goods sold $ 55,400	Cost of goods available for sale $ 72,400 Less cost of goods sold (55,400) Cost of ending inventory $ 17,000	Cost of goods available for sale $ 72,400 Less cost of goods sold (55,400) Cost of ending inventory $ 17,000	Cost of goods available for sale $ 72,400 Less cost of goods sold (55,400) Cost of ending inventory $ 17,000