The company uses a periodic inventory system, and its ending inventory consists of 300 units—100… 1 answer below »

Candis Gifts reported the following current-year data for its only product. The company uses a periodic inventory system, and its ending inventory consists of 300 units—100 from each of the last three purchases. Determine the cost assigned to ending inventory and to cost of goods sold using

(a) specific identification,

(b) weighted average,

(c) FIFO and

(d) LIFO. (Round per unit costs to three decimals, but inventory balances to the dollar.) Which method yields the lowest net income?

Jan. 1

Beginning inventory

280 units @ $3.00 5

$840

Mar. 7

Purchase

600 units @ $2.80 5

1,680

28-Jul

Purchase

800 units @ $2.50 5

2,000

Oct. 3

Purchase

1,100 units @ $2.30 5

2,530

Dec. 19

Purchase

250 units @ $2.00 5

500  

Totals

3,030 units

$7,550