Zambia Pastry uses a periodic inventory system. Its records show the following for the month of May, in which 70 units were sold.
|
Unit |
Unit Cost |
Total Cost |
||
|
1 May |
Inventory |
30 |
$8 |
$240 |
|
15 |
Purchases |
25 |
11 |
275 |
|
24 |
Purchases |
35 |
12 |
420 |
|
Totals |
90 |
$935 |
Instructions
Compute the ending inventory at May 31 using the FIFO and the LIFO methods. Prove the amount allocated to cost of goods sold under each method.