Complete Solution in Excel File - EPS

Complete Solution in Excel File - EPS

Using information presented below, compute the ending inventory and the ending inventory and the cost of goods sold for July. Make the computations for the FIFO, LIFO and weighted average method, assume the periodic method is used.

Beginning balance inventory 7/1/11                         4000  units at $5 each

Purchased 7/5/11                                                          5000 units at $5.50 each

Sold 7/9/11                                                                     4000 units at $9 each

Purchased 7/15/11                                                        5000 units at $6 each

Sold 7/25/11                                                    6000 units at $9 each

FIFO                                     LIFO                                     Weighted Average


Prepare a properly formatted income statement with EPS

Gross profits                      28% of sales

Selling/General Expenses               15% of sales

Cost of Goods                   $72,000

Income before taxes       $13,000

Income tax rate                40%

Common stock                  12,000 shares
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