Jennings Company Uses the Periodic Inventory System and Applied FIFO

question 40

Short Answer

Jennings Company uses the periodic inventory system and applied FIFO inventory costing.At the end of the annual accounting period,December 31,2010,the accounting records for the best selling item in inventory showed:
$$\begin{array} { l c c } \text { Transactions } & \text { Units } & \text { Unit Cost } \\\text { Beginning inventory, Jan. 1, } 2010 & 500 & \$ 100 \\\text { 1. Purchase, Feb. } 1 & 600 & 105 \\\text { 2. Sale, March } 15 \text { (sold at } \$ 20 \text { each) } & (700) & \\\text { 3. Purchase, May } 15 & 400 & 110 \\\text { 4. Sale, July } 31 \text { (sold at } \$ 25 \text { each) } & (500) &\end{array}$$ Calculate the following:
(round to the nearest dollar.)
1.Goods available for sale
2.Ending inventory
3.Cost of goods sold

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