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The Notebook Company was formed on December 1, 2016

Accounting

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The Notebook Company was formed on December 1, 2016. The following information is available from the company's inventory records:

 

 

Units

Unit Cost

Balance as of May 1, 2017 ................

800

$104

Purchases:

 

 

May 7, 2017 ..........................

19,000

 $105

June 11, 2017 ............................

17,000

 $106

July 23, 2017 .............................

3,200

 $103

December 15, 2017 .........................

5,100

 $107

 

 

The company uses a periodic inventory system, and a physical inventory on December 30, 2017, shows 8,300 units on hand.

 

1.     See information for The Notebook Company above. Using this information, the ending inventory value using FIFO is

a.      $875,300

b.     $870,700

c.      $872,210

d.     None of the above

 

2.     See information for The Notebook Company above. Using this information, the ending inventory value using LIFO is

a.      $875,300

b.     $870,700

c.      $872,210

d.     None of the above