Delta Ltd sells many products. Alpha is one of its popular items. Below is an analysis of the inventory purchases and sales of alpha for the month of March. Delta Ltd uses the periodic inventory system.
(a) Using the FIFO assumption, calculate the amount charged to cost of sales for March. (Show computations.)
(b) Using the average method, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)
(c) Using the LIFO assumption, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)

Question

Delta Ltd sells many products. Alpha is one of its popular items. Below is an analysis of the inventory purchases and sales of alpha for the month of March. Delta Ltd uses the periodic inventory system.
  (a) Using the FIFO assumption, calculate the amount charged to cost of sales for March. (Show computations.)
(b) Using the average method, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)
(c) Using the LIFO assumption, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)

Quizplus · Accepted Answer

The Answer of Delta Ltd sells many products. Alpha is one of its popular items. Below is an analysis of the inventory purchases and sales of alpha for the month of March. Delta Ltd uses the periodic inventory system.
  (a) Using the FIFO assumption, calculate the amount charged to cost of sales for March. (Show computations.)
(b) Using the average method, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)
(c) Using the LIFO assumption, calculate the amount assigned to the inventory on hand on 31 March. (Show computations.)

Delta Ltd Sells Many Products