# Answered Essay: Calculating Cost of Goods Available for Sale, Cost of Goods Sold, and Ending Inventory under FIFO, LI

Calculating Cost of Goods Available for Sale, Cost of Goods Sold, and Ending Inventory under FIFO, LIFO, and Weighted Average Cost (Periodic Inventory)

 Aircard Corporation tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period as if it uses a periodic inventory system. The following are the transactions for the month of July.
 Units Unit Cost July 1 Beginning Inventory 2,000 \$ 40 July 5 Sold 1,000 July 13 Purchased 6,000 44 July 17 Sold 3,000 July 25 Purchased 8,000 50 July 27 Sold 5,000

Units in Beginning Inventory = 2,000

Number of units purchased = 6,000 + 8,000
Number of units purchased = 14,000

Number of units sold = 1,000 + 3,000 + 5,000
Number of units sold = 9,000

Number of units Available for Sale = Units in Beginning Inventory + Number of units purchased
Number of units Available for Sale = 2,000 + 14,000
Number of units Available for Sale = 16,000

Units in Ending Inventory = Number of units Available for Sale – Number of units Sold
Units in Ending Inventory = 16,000 – 9,000
Units in Ending Inventory = 7,000

Cost of Goods Available for Sale = 2,000 * \$40 + 6,000 * \$44 + 8,000 * \$50
Cost of Goods Available for Sale = \$744,000

LIFO:

Cost of Goods Sold = 8,000 * \$50 + 1,000 * \$44
Cost of Goods Sold = \$444,000

Ending Inventory = 5,000 * \$44 + 2,000 * \$40
Ending Inventory = \$300,000

FIFO:

Cost of Goods Sold = 2,000 * \$40 + 6,000 * \$44 + 1,000 * \$50
Cost of Goods Sold = \$394,000

Ending Inventory = 7,000 * \$50
Ending Inventory = \$350,000

Weighted-average Cost:

Cost of Goods Available for Sale = \$744,000
Number of units Available for Sale = 16,000

Weighted Average Cost per unit = \$744,000 / 16,000
Weighted Average Cost per unit = \$46.50

Cost of Goods Sold = 9,000 * \$46.50
Cost of Goods Sold = \$418,500

Ending Inventory = 7,000 * \$46.50
Ending Inventory = \$325,500

Pages (550 words)
Approximate price: -

Help Me Write My Essay - Reasons:

Best Online Essay Writing Service

We strive to give our customers the best online essay writing experience. We Make sure essays are submitted on time and all the instructions are followed.

Our Writers are Experienced and Professional

Our essay writing service is founded on professional writers who are on stand by to help you any time.

Free Revision Fo all Essays

Sometimes you may require our writers to add on a point to make your essay as customised as possible, we will give you unlimited times to do this. And we will do it for free.

Timely Essay(s)

We understand the frustrations that comes with late essays and our writers are extra careful to not violate this term. Our support team is always engauging our writers to help you have your essay ahead of time.

Customised Essays &100% Confidential

Our Online writing Service has zero torelance for plagiarised papers. We have plagiarism checking tool that generate plagiarism reports just to make sure you are satisfied.

Try it now!

## Calculate the price of your order

Total price:
\$0.00

How it works?

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

HOW OUR ONLINE ESSAY WRITING SERVICE WORKS

Let us write that nagging essay.

By clicking on the "PLACE ORDER" button, tell us your requires. Be precise for an accurate customised essay. You may also upload any reading materials where applicable.

Pick A & Writer

Our ordering form will provide you with a list of writers and their feedbacks. At step 2, its time select a writer. Our online agents are on stand by to help you just in case.

Editing (OUR PART)

At this stage, our editor will go through your essay and make sure your writer did meet all the instructions.