Final answer:
The ending inventory valuation for Beamer Company using the LIFO perpetual cost flow method for the month of November is $39,980, and the cost of goods sold for the same period is $51,420.
Step-by-step explanation:
To calculate the value of the ending inventory and the cost of goods sold (COGS) using the LIFO perpetual cost flow method for Beamer Company for the month of November, we will process the transactions in the order they occurred.
Beginning inventory: 600 units at $80 each.
November 4 Sale: 200 units sold; these would be from the beginning inventory, leaving 400 units at $80 each.
November 11 Purchase: 350 units added at $82 each; the inventory is now 400 units at $80 each and 350 units at $82 each.
November 12 Sale: 275 units sold; under LIFO, we remove the last units that came in first, so we sell 275 units at $82 each.
November 22 Purchase: 175 units added at $84 each; the inventory is now 400 units at $80 each, 75 units at $82 each, and 175 units at $84 each.
November 23 Sale: 155 units sold; we first sell the 75 units at $82 each (since these are the last ones before the sale) and then 80 units at $84 each (the last remaining).
The ending inventory will consist of the following:
400 units at $80 each = $32,000
95 units at $84 each (175 - 80 units sold) = $7,980
Total ending inventory valuation = $32,000 + $7,980 = $39,980.
The COGS is calculated based on the units sold at their respective purchase price in the order of sales:
200 units at $80 (from beginning inventory) = $16,000
275 units at $82 (from November 11 purchase) = $22,550
75 units at $82 and 80 units at $84 (from November 22 purchase) = ($6,150 + $6,720) = $12,870
Total COGS = $16,000 + $22,550 + $12,870 = $51,420.