XY Ltd’s sells T-shirts. It uses the periodic inventory system

XY Ltd’s sells T-shirts. It uses the periodic inventory system. It’s inventory at the beginning of the month June and all purchases during the month of June 2019 are provided as below. Ignore GST.

 

		Units	Total cost ($)
1/6	Beginning inventory	1050	18,900
10/6	Purchase	750	14,175
15/6	Purchase	450	8,910
23/6	Purchase	750	15,750
	Totals	3,000	$57,735

 

A physical count on 30 June verified that 975 units were on hand.

 

Required:

1. Determine the Ending inventory and Cost of Sales for the month of June, using the FIFO costing method.
2. If all inventories are sold in the same price of $50, prepare the relevant part of the income statement for the month of June.

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