find the inventory value using the weighted average method, the fifo method, and the lifo method.\npurchases\…

find the inventory value using the weighted average method, the fifo method, and the lifo method.\npurchases\nbeginning inventory: 25 units at $8\njune: 16 units at $9\naugust: 15 units at $10\nnow in inventory: 20 units\nfind the inventory value using the weighted average method.\n$ 176.40\n(round the final answer to the nearest cent. round all intermediate values to the nearest cent.)\nfind the inventory value using the fifo method.\n$ 195\nfind the inventory value using the lifo method.\n$ □

find the inventory value using the weighted average method, the fifo method, and the lifo method.\npurchases\nbeginning inventory: 25 units at $8\njune: 16 units at $9\naugust: 15 units at $10\nnow in inventory: 20 units\nfind the inventory value using the weighted average method.\n$ 176.40\n(round the final answer to the nearest cent. round all intermediate values to the nearest cent.)\nfind the inventory value using the fifo method.\n$ 195\nfind the inventory value using the lifo method.\n$ □

Answer

Explanation:

Step1: Calculate the value of beginning inventory

The value of beginning inventory is (25\times8 = 200) dollars.

Step2: Calculate the value of June purchase

The value of June purchase is (16\times9=144) dollars.

Step3: Calculate the value of August purchase

The value of August purchase is (15\times10 = 150) dollars.

Step4: Calculate the total value of inventory available for sale

The total value is (200 + 144+150=494) dollars.

Step5: Calculate the total number of units available for sale

The total number of units is (25 + 16+15=56) units.

Step6: Calculate the cost per unit under LIFO

Under LIFO (Last - In - First - Out), we assume that the last units purchased are the first ones sold. The number of units in ending inventory is 20. We first use the beginning inventory. The number of units from beginning inventory in ending inventory: (20-(16 + 15)=-11) (This is wrong. We should calculate as follows: The total units available (n=25 + 16+15 = 56), units sold (s=56 - 20=36). Under LIFO, we sell 15 (August) + 16 (June)+5 (beginning). So the ending inventory is (25 - 5=20) units from beginning inventory. The value of ending inventory is (20\times8=160) dollars.

Answer:

(160)