Question

The accounting records of Tuel Electronics show the following data.Beginning inventory 3,880 units at $8Purchases 8,660 units at $10Sales 9,310 units at $13Determine cost of goods sold during the period under a periodic inventory system using the FIFO method, the LIFO method, and the average-cost method.(Round answers to 0 decimal places, e.g. 125.)

Answer 1

Pleas see answers below

Step-by-step explanation:

1. Using FIFO

This methods assumes that goods bought first are the first to be sold in chronological order. This means that ending inventory is based on the largest purchases, while the cost of goods sold is based on the earlier purchases.

Cost of goods sold

= (3,880 × $8 + $5,430 × $10)

= $85,340

2. Using LIFO

LIFO as an inventory method assumes ,

Cost of goods sold are those that were brought in first.

= (8,660 × $10 + 650 × $8)

= $91,800

3. Using Average cost

Average cost method uses an average cost to value.

Cost of goods sold

= 9,310 × $9.38

= $87,327.80