LIFO – NBC Institute

MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

Question

Koloko Wakama Plc trades in farm feeds. The following information relates to the movement of inventory for the month of June 2019:

Date	Units	Cost/Unit
June 6	20,000	N10.00
June 16	15,000	N12.50
June 26	30,000	N15.00

The following issues were made to the production floor from the store department:

Date	Units
June 8	8,000
June 18	10,000
June 24	6,000
June 29	20,000

You are required to:
a. Determine the value of closing inventory and the value of the materials issued as at the end of June 2019 using:
i. First-in-first-out (FIFO) method (7 Marks)
ii. Last-in-first-out (LIFO) method (7 Marks)

Answer

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Tags: Costing, FIFO, Inventory, LIFO
Level: Level 1

Topic: Accounting for Cost Elements
Series: MAY 2021

MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

Question

Which of the following is NOT a characteristic of ‘Last-In-First-Out’ (LIFO) materials pricing method?
A. Results in many batches being only partly charged to production where a subsequent batch is received
B. It is an actual cost system
C. It is acceptable by the tax authorities
D. Administratively clumsy
E. Makes cost comparison between jobs difficult

Answer

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Tags: Costing Systems, Inventory Management, LIFO, Materials Pricing
Level: Level 1

Topic: Costing Methods
Series: NOV 2023

MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

Question

From the information given below, you are required to compute the price of store issues and the value of closing stocks using:
i. First-In-First-Out (FIFO) basis
ii. Last-In-First-Out (LIFO) basis

January 2nd: Purchased 500 Units of XYZ at N40 per unit
January 7th: Purchased 200 Units at N45 per unit
January 10th: Issued 300 Units
January 12th: Purchased 350 Units at N42 per unit
January 15th: Issued 500 Units
January 18th: Purchased 200 Units at N38 per unit

Answer

Find Related Questions by Tags, levels, etc.

Tags: Closing Stock, FIFO, LIFO, Pricing methods
Level: Level 1

Topic: Costing Methods
Series: MAY 2024

MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

Question

Koloko Wakama Plc trades in farm feeds. The following information relates to the movement of inventory for the month of June 2019:

Date	Units	Cost/Unit
June 6	20,000	N10.00
June 16	15,000	N12.50
June 26	30,000	N15.00

The following issues were made to the production floor from the store department:

Date	Units
June 8	8,000
June 18	10,000
June 24	6,000
June 29	20,000

Answer

Find Related Questions by Tags, levels, etc.

Tags: Costing, FIFO, Inventory, LIFO
Level: Level 1

Topic: Accounting for Cost Elements
Series: MAY 2021

MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

Question

Answer

Find Related Questions by Tags, levels, etc.

Tags: Costing Systems, Inventory Management, LIFO, Materials Pricing
Level: Level 1

Topic: Costing Methods
Series: NOV 2023

MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

Question

From the information given below, you are required to compute the price of store issues and the value of closing stocks using:
i. First-In-First-Out (FIFO) basis
ii. Last-In-First-Out (LIFO) basis

January 2nd: Purchased 500 Units of XYZ at N40 per unit
January 7th: Purchased 200 Units at N45 per unit
January 10th: Issued 300 Units
January 12th: Purchased 350 Units at N42 per unit
January 15th: Issued 500 Units
January 18th: Purchased 200 Units at N38 per unit

Answer

Find Related Questions by Tags, levels, etc.

Tags: Closing Stock, FIFO, LIFO, Pricing methods
Level: Level 1

Topic: Costing Methods
Series: MAY 2024

Question Tag: LIFO

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MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

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MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

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MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

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MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

You're reporting an error for "MI – May 2024 – L1 – SB – Q3 – Costing Methods"

MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements

Calculate closing inventory and issued materials values using FIFO and LIFO methods.

You're reporting an error for "MI – May 2021 – L1 – SB – Q3a – Accounting for Cost Elements"

MI – Nov 2023 – L1 – SA – Q1 – Costing Methods

Identifying a characteristic that is NOT associated with the LIFO materials pricing method.

You're reporting an error for "MI – Nov 2023 – L1 – SA – Q1 – Costing Methods"

MI – May 2024 – L1 – SB – Q3 – Costing Methods

Compute the price of store issues and the value of closing stocks using FIFO and LIFO methods.

You're reporting an error for "MI – May 2024 – L1 – SB – Q3 – Costing Methods"

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