accounting quiz and test 494282

GLICKMAN – ACC111 End of Chapter 6 Test – (40 points) Name: _______________________________________ Please show all calculations!!! Morton Company uses the periodic inventory method for the year 20XX and had the following information. Units Cost Total Cost Jan 1 Beginning Inventory 100 $4.00 $ 400 Feb 15 Purchase 400 $5.00 $ 2,000 Jun 20 Purchase 200 $7.00 $ 1,400 Nov15 Purchase 300 $8.00 $ 2,400 Cost of Goods Available for Sale A physical count of inventory on December 31 revealed that there were 350 units on hand. Determine the cost of the 350 units in the inventory and the cost of goods sold by each of the following methods, presenting details of your computations AND prepare an Income Statement assuming Sales were $10,000 and Operating Expenses were $2,000. Don’t forget titles! A. FIFO Ending Inventory Computation Income Statement Cost of Goods Sold Computation B. LIFO Ending Inventory Computation Income Statement Cost of Goods Sold Computation C. Average Cost Ending Inventory Computation Income Statement Cost of Goods Sold Computation D. Which method gives the highest net income? _________________________???????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????