Sandvik Mining uses a periodic inventory system. One of the company’s products is a special equipment for the oil drilling rig. The inventory quantities, purchases and sales of this equipment for the...

Sandvik Mining uses a periodic inventory system. One of the company’s products is a special equipment for the oil drilling rig. The inventory quantities, purchases and sales of this equipment for the most recent year are as follows:

Using the periodic costing procedures, compute the cost of December 31 inventory and the cost of goods sold for the year under each of the following cost assumptions:

1. First-in, first-out


2. Last-in, first-out


3. Average cost (round to the nearest dollar, except unit cost)

Extracted text: Number of units Cost per unit Total Cost Inventory, Jan. 1 35 $222 7 770 Feb. 1 purchase 47 225 10 575 Mar. 1 purchase 58 231 13 398 Apr. 1 purchase 22 235 5 170 Goods available for sale 162 36 913 Jun. 1 sale 129 Sept. 1 purchase 45 248 11 160 Inventory, Dec. 31 78