Gale Company has the following inventory and purchases during the fiscal year ended December 31, 2023.

Gale Company employs a perpetual inventory system.

Required
1. Calculate the dollar value of ending inventory and cost of goods sold using:
a. FIFO
b. Moving weighted average. Round all unit costs to two decimal places.
2. Using your calculations from Part 1, complete the following schedule:

Analysis Component:
How would the gross profits calculated in Part 2 above change if Gale Company had been experiencing increasing prices in the acquisition of additional inventory?

Transcribed Image Text:

Beginning inventory..... Feb. 10 purchased.. Feb. 20 sold... Mar. 13 purchased.... Sept. 5 purchased.... Oct. 10 sold............. 280 units @ $80/unit 195 units @ $84/unit 360 units @ $160/unit 290 units @ $78/unit .255 units @ $64/unit 510 units @ $160/unit