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Question
Brutus Corporation, a newly formed corporation, has the following transactions during May, its first month of operations.
May 1 Purchased 500 units @ $25.00 each.
4 Purchased 300 units @ $24.00 each.
6 Sold 400 units @ $38.00 each.
8 Purchased 700 units @ $23.00 each.
13 Sold 450 units @ $37.50 each.
20 Purchased 250 units @ $25.25 each.
22 Sold 275 units @ $36.00 each.
27 Sold 300 units @ $37.00 each.
28 Purchased 550 units @ $26.00 each.
30 Sold 100 units @ $39.00 each.
Determine the total sales, cost of merchandise sold, gross profit, and ending inventory using each of the following inventory methods:
1. FIFO perpetual
2. FIFO periodic
3. LIFO perpetual
4. LIFO periodic
5. Weighted average cost periodic (round average to nearest cent)
Answer
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