The Beginning Inventory and Purchases of an Item for the Period

question 155

Essay

The beginning inventory and purchases of an item for the period were as follows:? $\begin{array}{ll}\text { Beginning inventory } & 6 \text { units at } \$ 70 \text { each } \\\text { First purchase } & 10 \text { units at } \$ 75 \text { each } \\\text { Second purchase } & 18 \text { units at } \$ 80 \text { each } \\\text { Third purchase } & 10 \text { units at } \$ 90 \text { each }\end{array}$ The company uses the periodic system, and there were 15 units in the inventory at the end of the period. Determine the cost of the 15 units in the inventory by each of the following methods, presenting details of your computations:
(a) first-in, first-out;
(b) last-in, first-out;
(c) average cost. Do not round your intermediate calculations. Round your final answer to two decimal places.

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Definitions:

Reappraising the Situation

A cognitive process of changing one's interpretation of a situation in order to alter its emotional impact.

Coping Method

Strategies or techniques that individuals use to manage stress, challenges, or emotional conflicts.

Reappraising the Situation

A cognitive process that involves changing one's interpretation of a situation to alter its emotional impact.

Accounting Job

A position that involves managing financial records, preparing reports, and ensuring compliance with financial laws and regulations.