Answered step by step
Verified Expert Solution
Question
1 Approved Answer
3. A company uses the periodic inventory system, and the following information is available. All purchases and sales are on credit. Unit Price Dec 1
3. A company uses the periodic inventory system, and the following information is available. All purchases and sales are on credit. Unit Price Dec 1 Inventory Balance- Dec 6 Purchase- Dec 11 Purchase- Dec 16 Purchase- Goods available- Unit Unit Cost 30 $3 70 4 45 5 50 6 195 Total Cost $ 90 280 225 300 $ 895 Dec 12 Dec 20 $10 11 Sale- Sale Goods sold- Inventory Balance 100 60 160 35 Dec 31 (a) Prepare the general journal entries to record: The October 6 purchase. The October 12 sale. (b) Assuming the periodic inventory system is used, determine both the cost of the ending inventory and the cost of goods sold using the LIFO method for October
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started