Alternative Inventory Methods The Frate Company was formed on December 1, 2006. The following information is available from Frate’s inventory records for Product Ply:
|
Units |
Unit Cost |
|
|
1 Jan 07 |
||
|
(beginning inventory) |
800 |
$9.00 |
|
Purchases: |
||
|
6 Jan 07 |
1,500 |
10 |
|
24 Jan 07 |
1,200 |
10.5 |
|
17 Feb 07 |
600 |
11 |
|
27 Mar 07 |
900 |
11.5 |
A physical inventory on March 31, 2007 shows 1,600 units on hand.
Required
Prepare schedules to compute the ending inventory at March 31, 2007 under each of the following inventory methods:
1. FIFO
2. LIFO
3. Weighted average Show supporting computations in good form.