BD Joiners inventory transactions for the three months ended 31 March 2013 were as follows: (mathrm{BD}) Joiners
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BD Joiners inventory transactions for the three months ended 31 March 2013 were as follows:
\(\mathrm{BD}\) Joiners maintains its inventory records on the perpetual system, and all purchases are made on the first day of the month.
\section*{Required}
(a) Calculate cost of goods sold, gross profit and closing inventory for the three months ended 31 March 2013 under FIFO and LIFO cost flow assumptions.
(b) With reference to your findings in (i) above, explain the effect each of the cost flow assumptions has on the statement of comprehensive income and statement of financial position in times of rising prices.
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Related Book For
Financial Accounting And Reporting
ISBN: 9780077138363
2nd Edition
Authors: John McKeith, Bill Collins
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