In its first month of operations, Weatherall Company made three purchases of merchandise in the following

sequence: (1) 100 units at $5, (2) 400 units at $6, and (3) 100 units at $7.

Assuming there are 300 units on hand, compute the cost of the ending inventory under the FIFO method and LIF
method. Weatherall uses a periodic inventory system.

Purcahses:
Units Cost Total Cost
1) 100 $5 $500
2) 400 $6 $2,400
3) 100 $7 $700
Total 600 $3,600

Units in Ending Inventory 300

FIFO LIFO
Ending Inventory $1,900 $1,700
chandise in the following

nder the FIFO method and LIFO

 Brief Exercise 6-4 (Part Level Submission)
In its first month of operations, Weatherall Company made three purchases of merchandise in the following
sequence: (1) 170 units at $6, (2) 470 units at $7, and (3) 100 units at $8.

Purcahses:
Units Cost Total Cost
1) 170 $6 $1,020
2) 470 $7 $3,290
3) 100 $8 $800
Total 740 $5,110

a)
Average Cost per Unit $6.91

b)
Units in Ending Inventory 340

Cost of Ending Inventory $2,347.84

in the following