The following information pertains to Mason Company for2016.
|
Beginning inventory
|
90 units@$40
|
|
Units purchased
|
310 units 45
|
Ending inventory consisted of 30 units. Mason sold 370 unitsat $90 each. All purchases and sales were made with cash. Operating expensesamounted to $4,100.
Required:
A. Compute the gross margin for Mason Company usingthe following cost flow assumptions: 1. FIFO, 2. LIFO, and 3. Weighted average.
B. What is the amount of net income using FIFO,LIFO, and weighted average? (ignore income tax considerations)
C. Compute the amount of ending inventory using 1.FIFO, 2. LIFO, and 3. Weighted average.