Sherita H.

# How do I calculate the answers, I am at a complete loss of how to determine

Cost Flow Methods

Three identical units of Item PX2T are purchased during July, as shown below.

 Item PX2T Units Cost July 9 Purchase 1 $208 July 17 Purchase 1 209 July 26 Purchase 1 210 Total 3$627 Average cost per unit $209 ($627 ÷ 3 units)

Assume that one unit is sold on July 31 for $270. Determine the gross profit for July and ending inventory on July 31 using the (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average cost methods.  Gross ProfitEnding Inventory a. First-in, first-out (FIFO)$ $b. Last-in, first-out (LIFO)$ $c. Weighted average cost$ \$

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