A company purchased $20,000 of merchandise. Transportation costs were an additional $240. The company returned $320 of the merchandise and then paid the invoice within the 2.0% discount period. What is the total amount of cash paid?
Alphabet Company, which uses the periodic inventory method, buys different letters for resale. It buys A thru G in January at $4.0 per letter. In February, it buys H thru L at $6.0 per letter. It buys M thru R in March at $7.0 per letter. It sells A, D, E, H, J and N in April.
- If the company uses the weighted average method, what is the cost of its ending inventory?
- If the company uses the LIFO method, what is the cost of its ending inventory?
- If the company uses the FIFO method, what is the cost of its ending inventory?