Reference no: EM132650532

You are provided with the following information for Coronado Inc. Coronado Inc. uses the periodic method of accounting for its inventory transactions.

March. 1. Beginning inventory 2,000 liters at a cost of 70¢ per liter
March 3 Purchased 2,500 liters at a cost of 74¢ per liter
March. 5. Sold 2,300 liters for $1.05 per liter
March. 10. Purchased 4,000 liters at a cost of 81¢ per liter
March. 20. Purchased 2,500 liters at a cost of 89¢ per liter
March 30 Sold 5,000 liters for $1.25 per liter

Question a: Calculate the value of ending inventory that would be reported on the balance sheet, under each of the following cost flow assumptions. (Round answers to 2 decimal places, e.g. 125.50.)

1) Specific identification method assuming:

(i) The March 5 sale consisted of 1,000 liters from the March 1 beginning inventory and 1,300 liters from the March 3 purchase; and

(ii) The March 30 sale consisted of the following number of units sold from beginning inventory and each purchase: 450 liters from March 1; 550 liters from March 3; 2,900 liters from March 10; 1,100 liters from March 20.
2) FIFO
3) LIFO