1. Prepare general journal entries to record the following Perpetual system merchandising transactions of Caines Company.(26 points)

2. Using the FIFO method, calculate the following: (10 points)

a. Ending Inventory in units and value ($) _________

b. Cost of Goods Sold ($ )__________

TASK 1 1. Prepare general journal entries to record the following Perpetual system merchandising transactions of Caines Company (26 points) 2. Using the FIFO method, calculate the following: (10 points) a. Ending Inventory in units and value ($) b. Cost of Goods Sold ($) July 1st Purchased 20 units of widgets from Spencer Company for $500.00, under credit term of 2/15, n30. FOB factory July 3rd Sold 15 units of widgets to Darby Co for $900.00 under credit terms of 2/15, n60. FOB shipping point July 5th Paid $80.00 for freight charges on purchase of July 1st. July 7th Darby Company returned 5 units to stock July 9th Purchased 40 units of widgets from Keene Co for $1120 under credit terms of 2/15, n60 FOB destination. July 12th Received a credit memo for 10 widgets $280.00 acknowledging the return of merchandise purchased on July 9th. Received a cheque from Darby Company for the sale transaction of July 3rd July 14th July 16th July 20th Paid the balance due to Spencer Company Sold 30 units of widgets to Urban Co for $1800.00 under credit terms of 2/15, n60