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#1 Accounting 1A Chapter 6 – Inventories Inventory Calculations Practice Problems 1 The company uses the perpetual inventory system. Inventory Costing Methods – Perpetual Inventory System Date Units...

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#1
    Accounting 1A
    Chapter 6 – Inventories
    Inventory Calculations Practice Problems 1
    The company uses the perpetual inventory system.
    Inventory Costing Methods – Perpetual Inventory System
    Date        Units        Unit Cost
    7/1/21    Beginning Inventory    0
    7/5/21    Purchase    5,000    units at    $100
    7/15/21    Sale 1    500
    7/20/21    Purchase    400    units at    $105
    7/23/21    Sale 2    1,000
    7/25/21    Purchase    800    units at    $110
    7/30/21    Sale 3    1,200
    Total Cost of Merchandise Purchased During the Month
    Total Number of Units Available During the Month
    Total Units Sold During the Month
    Total Units in Ending Inventory at July 31
    Cost of Goods Sold for the Month Under FIFO                Cost of Ending Inventory under FIFO
    Cost of Goods Sold for the Month Under LIFO                Cost of Ending Inventory Under LIFO
#2
    Accounting 1A
    Chapter 6 – Inventories
    Inventory Calculations Practice Problems 1
    There are 80 units of the item in the physical inventory at December 31. The periodic inventory system is used.
    Inventory Costing Methods – Periodic Inventory System
        Units        Unit Cost
    Beginning Inventory    0
    Purchase    220    units at    $50
    Purchase    80    units at    $48
    Purchase    100    units at    $47
    Total Sales for the month    320
    Total Cost of Merchandise Purchased During the Month
    Total Number of Units Available During the Month
    Total Units Sold During the Month
    Total Units in Ending Inventory
    Cost of Goods Sold Under FIFO                Cost of Ending Inventory Under FIFO
    Cost of Goods Sold Under LIFO                Cost of Ending Inventory Under LIFO
    Cost of Goods Sold Under Average Cost (Weighted Average)                Cost of Ending Inventory Under Under Average Cost (Weighted Average)
Answered Same Day Jul 05, 2021

Solution

Kiran answered on Jul 05 2021
156 Votes
#1
    Accounting 1A
    Chapter 6 – Inventories
    Inventory Calculations Practice Problems 1
    The company uses the perpetual inventory system.
    Inventory Costing Methods – Perpetual Inventory System
    Date        Units        Unit Cost
    7/1/21    Beginning Inventory    0
    7/5/21    Purchase    5,000    units at    $100
    7/15/21    Sale 1    500
    7/20/21    Purchase    400    units at    $105
    7/23/21    Sale 2    1,000
    7/25/21    Purchase    800    units at    $110
    7/30/21    Sale 3    1,200
    Total Cost of Merchandise Purchased During the Month                            
                        Amount
    7/5/21    Purchase    5,000    units at    $100    $500,000
    7/20/21    Purchase    400    units at    $105    $42,000
    7/25/21    Purchase    800    units at    $110    $88,000
                Total        $630,000
    Total Number of Units Available During the Month
        6,200
            Units
    7/5/21    Purchase    5,000
    7/20/21    Purchase    400
    7/25/21    Purchase    800
        Total    6,200
    Total Units Sold During the Month
        2700
    Date        Units
    7/15/21    Sale 1    500
    7/23/21    Sale 2    1,000
    7/30/21    Sale 3    1,200
        Total    2700
    Total Units in Ending Inventory at July 31
        3,500
        Total Units available    6,200
        Less: Units sold     2700
        Ending Inventory    3,500
    Cost of Goods Sold for the Month Under FIFO                Cost of Ending Inventory under FIFO
        270000                360000
    Date        Units        Unit Cost    Balance
    7/1/21    Beginning Inventory    0            0    0    0
    7/5/21    Purchase    5,000    units at    $100    5000    100    500000
    7/15/21    Sale...
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