Jenkins Company Sells Home Weather Exercise Bikes

question 68

Essay

Jenkins Company sells home weather exercise bikes. Its beginning inventory was 50 units at $200 per unit. During the year, Jenkins made two purchases of the bikes: first, a 150-unit purchase at $220 per unit, and then 100 units at $250 per unit. The ending inventory for the year was 125 units.
Required:
Determine the amount of product costs that would be allocated to cost of goods sold and ending inventory, assuming that Jenkins uses
a) FIFO
b) LIFO
c) Weighted average

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Definitions:

Terminal Bronchiole

The terminal bronchiole is the smallest airway in the respiratory tract that conducts air and does not engage in gas exchange.

Alveolar Duct

Tiny ducts in the lungs that connect the respiratory bronchioles and alveolar sacs, a key part in the pathway of air to the alveoli.

Primary Bronchus

One of the two main branches of the trachea that convey air into the lungs.

Respiratory Bronchiole

The very small airways in the lungs where gas exchange between air and blood takes place, part of the respiratory zone.