Question

Cheyenne Corp. just began business and made the following four inventory purchases in June: June 1 141 units $846 June 10 188 units 1316 June 15 188 units 1504 June 28 141 units 1269 $4935 A physical count of merchandise inventory on June 30 reveals that there are 188 units on hand. Using the LIFO inventory method, the value of the ending inventory on June 30 is:

Answer 1

Inventory= $1,175

Step-by-step explanation:

Giving the following information:

June 1: 141 units $846 (6)

June 10: 188 units 1316 (7)

June 15: 188 units 1504 (8)

June 28: 141 units 1269 (9)

A physical count of merchandise inventory on June 30 reveals that there are 188 units on hand.

LIFO (last-in, first-out)

Inventory= 141*6 + 47*7= $1,175