The inventory records of Furguson, Inc. reflected the following information for the year:
|
DATE
|
TRANSCTION
|
# OF UNITS
|
UNIT COST
|
|
1/1
|
Beginning Inventory
|
300
|
$18
|
|
2/14
|
Purchase
|
140
|
19
|
|
3/7
|
Sale
|
180
|
-
|
|
4/19
|
Purchase
|
120
|
21
|
|
8/26
|
Sale
|
270
|
-
|
|
6/20
|
Purchase
|
150
|
22
|
|
10/13
|
Purchase
|
90
|
24
|
|
12/10
|
Sale
|
100
|
-
|
a) Calculate Cost of Good Sold and Ending Inventory under each of the following cost flow assumptions:
- Weighted Average
- FIFO
- LIFO
b) Assuming a Price per Unit of $ 40, what information can be presented on the firm's Income Statement for the year?
c) What type of firm is this (i.e. Manufacturing, Merchandising, or Service)? What is the basis of your response here?