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Craig Company

Craig Company buys and sells one product. Its beginning inventory, purchases, and sales during calendar-year 2018 follow.

Problem
Date

Activity

Units Acquired at Cost

Total

Units Sold at Retail

Unit Inventory

Jan. 1

Beg. Inventory

400 units @ $14 =

$5,600

-

400 units

Jan. 15

Sale

-

-

200 units @ $30

200 units

Mar. 10

Purchase

200 units @ $15 =

$3,000

-

400 units

Apr. 1
Sale

-

-

200 units @ $30

200 units

May 9
Purchase

300 units @ $16 =

$4,800

-

500 units

Sep. 22
Purchase

250 units @ $20 =

$5,000

-

750 units

Nov. 1
Sale

-

-

300 units @ $35

450 units

Nov. 28
Purchase

100 units @ $21 =

$2,100

-

550 units

-

Totals

1,250 units

$20,500

700 units

550 units

Additional tracking data for specific identification: (1) January 15 sale—200 units @ $14, (2) April 1 sale—200 units @ $15, and (3) November 1 sale—200 units @ $14 and 100 units @ $20.

What is the Cost of Good Available for Sale ? How many units available for sale? (1 point)
Using the Periodic System, determine Cost of Goods Sold (COGS) and Ending Inventory using one of the methods: Specific Identification, Weighted Average, FIFO or LIFO. Show your work.
Explain how the calculation might be different if you used Perpetual System instead.

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