Bouchard Inc. uses a periodic inventory system. The following transactions took place during January 2017. The company sold 200 units during this month at $6 per unit. For specific identification purposes, items sold were:
|
100 units of opening inventory |
||
|
30 units of purchase #3 |
||
|
30 units of purchase #4 |
||
|
40 units of purchase #5 |
||
|
Units |
Unit Cost |
|
|
Opening inventory |
100 |
$1 |
|
Purchase #1 |
10 |
1 |
|
Purchase #2 |
20 |
2 |
|
Purchase #3 |
30 |
3 |
|
Purchase #4 |
40 |
4 |
|
Purchase #5 |
50 |
5 |
Required: Using the income statement format shown below, calculate gross profit for each of:
- FIFO
- Specific identification
- Weighted average.
- 2346 reads
