Question - Analyzing the Effects of Four Alternative Inventory Methods in a Periodic Inventory System
Mojo Industries tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period, as if it uses a periodic inventory system. Assume its accounting records provided the following information at the end of the accounting period, January 31. The inventory's selling price is $13 per unit.
TransactionsUnit CostUnitsTotal Cost Inventory, January 1$4.50 250 $1,125 Sale, January 10 (190) Purchase, January 12 5.00 300 1,500 Sale, January 17 (160) Purchase, January 26 6.00 75 450
Assuming that for Specific identification method (item 1d) the January 10 sale was from the beginning inventory and the January 17 sale was from the January 12 purchase.
Required:
1. Compute the amount of goods available for sale, ending inventory, and cost of goods sold at January 31 under each of the following inventory costing methods: (Round your intermediate calculations to 2 decimal places and final answers to the nearest dollar amount.)