Problem: Inventory flows for Toy Elmo Company for the month of January are as follows:
# of Units Unit Cost
Beginning inventory* 250 $1.00
Purchases:
January 3 100 $1.10
January 15 150 $1.15
January 17 300 $1.05
Sales:
January 5 200
January 18 100
January 24 150
Assume the same for FIFO, LIFO, and weighted average cost flow assumptions.
Required:
Compute the cost of goods sold and ending inventory for the Toy Elmo Company using the following assumptions:
a. FIFO cost flow assumption and a periodic inventory system
b. LIFO cost flow assumption and a periodic inventory system
c. Weighted average cost flow assumption and a periodic inventory system