Cansela corporation uses a periodic inventory system and

Reference no: EM13590248

Cansela Corporation uses a periodic inventory system and the LIFO method to value its inventory. The company began 2013 with inventory of 7,900 units of its only product. The beginning inventory balance of $112,800 consisted of the following layers:

3,400 units at $12 per unit

40,800

4,500 units at $16 per unit

72,000

112,800

During the three years 2013-2015 the cost of inventory remained constant at $18 per unit. Unit purchases and sales during these years were as follows:

	Purchases		Sales
2013		31,000		33,000
2014		41,000		43,500
2015		33,000		34,000

Required:

Calculate cost of goods sold for 2013, 2014, and 2015.

Disregarding income tax, determine the LIFO liquidation profit or loss, if any, for each of the three years.

Determine the effects of LIFO liquidation on cost of goods sold and net income for 2013, 2014, and 2015. Cansela's effective income tax rate is 45%.

Reference no: EM13590248

Questions Cloud

Your cars fan belt turns a pulley at 300 revs when you : question your cars fan belt turns a pulley at 3.00 revs . when you step on the gas for 1.25s the rate increases

A converging lens f 147 cm is located 241 cm to the left : question a converging lens f 14.7 cm is located 24.1 cm to the left of a diverging lens f -6.64 cm. a postage stamp

Aswer the following questions relating to percentages : answer the following questions relating to percentagesi. convert the fraction 2350 to an equivalent percentage.ii.

An employee earns 18 per hour and 1 12 times that rate for : an employee earns 18 per hour and 1 12 times that rate for all hours worked in excess of 40 hours per week. assume that

Cansela corporation uses a periodic inventory system and : cansela corporation uses a periodic inventory system and the lifo method to value its inventory. the company began 2013

What is the net flux of electric field fe emerging from one : question a pyramid has a square base and four faces which are equilateral triangles. a charge q is placed on the center

Merchandise invoiced at 8500 is sold on terms 110 n30 if : merchandise invoiced at 8500 is sold on terms 110 n30. if the buyer pays within the discount period what amount will be

A 3140 molal solution of nacl is prepared how many grams of : a 3.140 molal solution of nacl is prepared. how many grams of nacl are present in anbspsample containing 3.000 kg of

Prepare a partial balance sheet for holmes at december 31 : on december 31 2014 kate holmes company has 7086800 of short-term debt in the form of notes payable to gotham state

User Account

All Pages