Inventory costing methods
The following transactions affecting materials occurred in February:
|
Feb. 1
|
Balance on hand, 1,200 ft @ $2.76, $3,312.00 (plastic tubing, materials ledger account #906).
|
|
5
|
Issued 60 ft to production on Materials Requisition No. 108.
|
|
11
|
Issued 200 ft on Materials Requisition No. 210.
|
|
14
|
Received 800 ft from a supplier, Receiving Report No. 634, price $2.80per ft.
|
|
15
|
Issued 400 ft, Materials Requisition No. 274.
|
|
16
|
Returned to a supplier for credit, 90 ft purchased on February 14, which were found to be defective.
|
|
18
|
Received 1,000 ft, Receiving Report No. 712, price $2.83 per ft.
|
|
21
|
Issued 640 ft, Materials Requisition No. 318.
|
Required:
Record the transactions on materials ledger accounts. (The ''On Order'' columns should be omitted.) Use the following inventory methods, assuming the use of a perpetual inventory system. Carry unit prices to four decimal places.
1. FIFO
2. LIFO
3. Moving average