Some of the information found on a detail inventory card for Concord Inc. for the first month of operations is as follows. Received Date No. of Units Unit Cost Issued, No. of Units Balance, No. of Units January 2 1,700 $3.39 1,700 7 1,200 500 10 1,100 3.62 1,600 13 1,000 600 18 1,500 3.73 800 1,300 20 1,100 200 23 1,800 3.84 2,000 26 1,300 700 28 2,100 3.96 2,800 31 1,800 1,000 (a1) ?Your answer is correct. Calculate the weighted-average cost per unit. (Round answer to 2 decimal places, e.g. 2.76.) Weighted-average cost per unit $ 3.73 eTextbook and Media Attempts: 1 of 3 used (a2) ?Your answer is correct. From these data compute the ending inventory on each of the following bases. Assume that perpetual inventory records are kept in units only. (1) First-in, first-out (FIFO). (2) Last-in, first-out (LIFO). (3) Average-cost. (Round final answers to 0 decimal places, e.g. 6,548) (1) FIFO Ending inventory $ 3960 (2) LIFO 3390 (3) Average-cost 3730 eTextbook and Media Attempts: 1 of 3 used (b) If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, would the amounts shown as ending inventory in (1), (2), and (3) above be the same? What amount would be shown as ending inventory? (Round average cost per unit to 4 decimal places, e.g. 2.7621 and final answers to 0 decimal places, e.g. 6,548) (1) FIFO Would amount be same Yes Ending inventory $ 3960 (2) LIFO (3) Average-cost
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Required information [The following information applies to the questions displayed below.] Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021: Aug. 1 Inventory on hand-2,100 units; cost $6.20 each. 8 Purchased 10,500 units for $5.60 each. 14 Sold 8,400 units for $12.10 each. 18 Purchased 6,300 units for $5.40 each. 25 Sold 7,400 units for $11.10 each. 28 Purchased 4,100 units for $5.80 each. 31 Inventory on hand-7,200 units. Required: 1. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using the FIFO method.
Akash M.
The beginning inventory of merchandise at Dunne Co. and data on purchases and sales for a three-month period ending June 30 are as follows: 1) Record the inventory, purchases, and cost of merchandise sold data to a perpetual inventory record using the first-in, first-out method. Under FIFO, if units are in inventory at two different costs, enter the units with the lower cost first in the cost of merchandise sold unit cost column and in the inventory unit cost column. 2) Determine the total sales and the total cost of merchandise sold for the period. Journalize the entries in the sales and the cost of merchandise sold accounts. Assume that all sales were on account. 3) Determine the gross profit from the sales for the period. 4) Determine the ending inventory cost as of June 30. 5) Based upon the preceding data, would you expect the inventory using the last in, first out method to be higher or lower? FIFO Perpetual Inventory The beginning inventory of merchandise at Dunne Co. and data on purchases and sales for a three-month period ending June 30 are as follows: Date Transaction Number of Units Per Unit Total Apr. 3 Inventory 36 $525 $18,900 8 Purchase 72 630 45,360 11 Sale 48 1,750 84,000 30 Sale 30 1,750 52,500 May 8 Purchase 60 700 42,000 10 Sale 36 1,750 63,000 19 Sale 18 1,750 31,500 28 Purchase 60 770 46,200 June 5 Sale 36 1,840 66,240 16 Sale 48 1,840 88,320 21 Purchase 108 840 90,720 28 Sale 54 1,840 99,360 Required: 1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual FIFO. If units are in inventory at two different costs, enter the units with the lower cost first in the cost of merchandise sold unit cost column and in the inventory unit cost column.
Using the LIFO method, complete the steps below to calculate the ending inventory units, inventory account balance, and cost of goods sold account balance at the end of the period. Date Activity Units Purchase Price (per unit) Sale Price (per unit) 1-Feb Beginning Inventory 100 $ 45 15-Feb Purchase 700 $ 52 9-Apr Sale 1 600 $ 90 29-May Purchase 500 $ 56 10-Jul Sale 2 600 $ 90 10-Sep Purchase 400 $ 58 15-Oct Sale 3 400 $ 90 5-Nov Purchase 900 $ 62 18-Dec Sale 4 200 $ 90 1. Compute the Cost of Goods Sold and ending inventory (units and value) after Sale 1. Must show each component of the calculation on a separate line. Refer to the Excel examples. (3 points total. For all calculations, you must use a formula in the cell to get full credit). Cost of Goods Sold Total COGS after Sale 1 Inventory Remaining Total Inventory Balance after Sale 1 Totals: 2. Compute the Cost of Goods Sold and ending inventory (units and value) after Sale 2. Must show each component of the calculation on a separate line. Refer to the Excel examples. (3 points total. For all calculations, you must use a formula in the cell to get full credit). Cost of Goods Sold Total COGS after Sale 2 Inventory Remaining Total Balance after Sale 2 Totals: 3. Compute the Cost of Goods Sold and ending inventory (units and value) after Sale 3. Must show each component of the calculation on a separate line. Refer to the Excel examples. (3 points total. For all calculations, you must use a formula in the cell to get full credit). Cost of Goods Sold Total COGS after Sale 3 Inventory Remaining Total Balance after Sale 3 Totals: 4. Compute the Cost of Goods Sold and ending inventory (units and value) after Sale 4. Must show each component of the calculation on a separate line. Refer to the Excel examples. (3 points total. For all calculations, you must use a formula in the cell to get full credit). Cost of Goods Sold Total COGS after Sale 4 Inventory Remaining Total Balance after Sale 4 Totals: 5. Calculate the values below (3 points total. For all calculations, must use a formula in the cell to get full credit) Ending inventory units: Ending inventory account balance: Cost of Goods Sold account balance:
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