Financial accounting 16th Edition by Jan Williams,Susan Haka,Mark Bettner ,Joseph Carcello

تمرين 3

Ryan Sound uses a periodic inventory system.ne of the store's products is a wireless headphone.he inventory quantities, purchases, and sales of this product for the most recent year are as follows:

Instructions
a.sing periodic costing procedures, compute the cost of the December 31 inventory and the cost of goods sold for the year under each of the following cost assumptions:
1.irst-in, first-out.
2.ast-in, first-out.
3.verage cost (round to the nearest dollar, except unit cost).
b.hich of the three inventory pricing methods provides the most realistic balance sheet valuation of inventory in light of the current replacement cost of these headphones Does this same method also produce the most realistic measure of income in light of the costs being incurred by Roman Sound to replace these units when they are sold Explain.