Jan. 1 Inventory 122 units at $4 each 4 Sale 101 units at $8 each 11...

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Jan. 1 Inventory 122 units at $4 each 4 Sale 101 units at $8 each 11 Purchase 164 units at $6 each 13 Sale 132 units at $9 each 27 20 27 20 Purchase 169 units at $6 each Sale 106 units at $10 each Blue uses the FIFO cost flow assumption. All purchases and sales are on account. (a) Assume Blue uses a periodic system. Prepare all necessary journal entries, including the end-of-month closing entry to record cost of goods sold. A physical count indicates that the ending inventory for January is 116 units. (If no entry is required, select "No entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1 Inventory 122 units at $4 each 4 Sale 101 units at $8 each 11 Purchase 164 units at $6 each 13 Sale 132 units at $9 each 27 20 27 20 Purchase 169 units at $6 each Sale 106 units at $10 each Blue uses the FIFO cost flow assumption. All purchases and sales are on account. (a) Assume Blue uses a periodic system. Prepare all necessary journal entries, including the end-of-month closing entry to record cost of goods sold. A physical count indicates that the ending inventory for January is 116 units. (If no entry is required, select "No entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit

Answer rating: 100% (QA)

Here are the journal entries for Blue using the FIFO cost flow assumption with a periodic system Dat... View the full answer