6-6

Problem 6-6A (Algo) Record transactions using a perpetual system, prepare a partial income statement, and adjust for the lower of cost and net realizable value (LO6-2, 6-3, 6-4, 6-5, 6-6) At the beginning of October, Bowser Company's inventory consists of 52 units with a cost per unit of $48. The following transactions occur during the month of October. Oetober 4 Purchane 128 units of inventory on account f fon Waluigl conpany for $50 per unit, termin 2/10, t//30. october 5 Pay ensh for freight charges related to the ootober 4 porchase, $826. october 9 feturn 10 defective unita from the october 4 purchase and receipt of eredit. october 12 Pay Naluigi conpany in full. october is sel1 158 units of inventory to customers on account, $12,640. (Hinti The cost of units wold fron the Gotober 4 purehase ineludes $50 unit cost plus $7 per unit for freight less $1 per unit for the purchose discount, or $5 per un 1t, ) october 19 Receive ful1 paynent from customers related to the sale on ootober 15. October 20 Purchase 98 uoits of inventery 1 rom Waluigi Coopany for $68 per unit. october 22 sel1 98 units of inventory to cultomers for eash, $7,840. Required: 1. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. 2. Suppose by the end of October that the remaining inventory is estimated to have a net realizable value per unit of $35. Record any necessary adjusting entry for lower of cost and net realizable value. 3. Prepare the top section of the multiple-step income statement through gross profit for the month of obober after the adjusting entry for lower of cost and net realizable value. Complete this question by entering your answers in the tabs below. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. (If no entry is required for a transaction/event, select "No Journal. Entry Required' in the first account field.) Problem 6-6A (Algo) Record transactions using a perpetual system, prepare a partial income statement, and adjust for the lower of cost and net realizable value (LO6-2, 6-3, 6-4, 6-5, 6-6) At the beginning of October, Bowser Company's inventory consists of 52 units with a cost per unit of $48. The following transactions occur during the month of October. october 4 Punchnne 128 unita of inventory on account from Kaluig1 Conpany for 550 per unit, terns 2/10, n/30. Oetober 5 Pay ehsh tor Ireight ehargea related to the Oetober 4 purchase, $826. October 9 peturn 10 defective unita from the october 4 purchane and receipt of credit. oetobet 12 pay Waluigi Conpany in full. october 15 sell 158 units of inventory to custoners on account, $12,640. (Alat; The cost of units sold from the october 4 purchane ineledel $50 unit cost plus $7 per unit for freighe less $1 per unit for the purchase discount, or 556 per unitil October 19 Receive tall paynent fron cuatoners related to the nale on oetober 15 . october 20 Purchase 98 units of inventory fron Waluigi coupany for $68 per andt. october 22 sel1 98 anits of inventory to custoners for cash, $7,840. Required: 1. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. 2. Suppose by the end of October that the remaining inventory is estimated to have a net realizable value per unit of $35. Record any necessary adjusting entry for lower of cost and net realizable value. 3. Prepare the top section of the multiple-step income statement through gross profit for the month of October after the adjusting entry for lower of cost and net realizable value. Complete this question by entering your answers in the tabs below. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. (If no entry is required for a transaction/event, select "No Joumal Entry Required" in the first account field.) Problem 6-6A (Algo) Record transactions using a perpetual system, prepare a partial income statement, and adjust for the lower of cost and net realizable value (LO6-2, 6-3, 6-4, 6-5, 6-6) At the beginning of October, Bowser Company's inventory consists of 52 units with a cost per unit of \$48. The following transactions occur during the month of October. Gctober 4 Purehane 128 unitin of inventory on accoust from Waluigi Coepany for \$50 per untt, terns 2/10, A/30. october 5 Pay canb tor frelght charges related to the october 4 purchane, 5 azs. cetober 9 return 10 detective units from the october 4 purchase and receipt of eredit. october 12 Pay Walulgi conpany in full. october 15 sel1 15 il units of inventory to cuscomers on account, $12,640. ( N int the cost of unita sold fron the Getober 4 purchase includes $50 unit cost plus $7 per unit for freight lesa $1 per unit for the purchase discount, or $56 per unit.) october 19 recelve tall payment fron customera related to the sale on october 15 . october 20 Purehase 98 units of inventory fron Walulgl cospany for $68 per unit. Detober 22 sel2 98 units of inventory to eastomers for cash, $7,840. Required: 1. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. 2. Suppose by the end of October that the remaining inventory is estimated to have a net realizable value per unit of $35, Record any necessary adjusting entry for lower of cost and net realizable value. 3. Prepare the top section of the multiple-step income statement through gross profit for the month of October after the adjusting entry for lower of cost and net realizable value. Complete this question by entering your answers in the tabs below. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the sale of 98 units of inventory to customers for cash, $7,840. Notei Enter debits before credins. Problem 6-6A (Algo) Record transactions using a perpetual system, prepare a partial income statement, and adjust for the lower of cost and net realizable value (LO6-2, 6-3, 6-4, 6-5, 6-6) At the beginning of October, Bowser Company's inventory consists of 52 units with a cost per unit of $48. The following transactions occur during the month of October. October 4 Purehane 128 units of inventory on account from waluigi company for $50 per anit, terns 2/10, th/30. October 5 Pay cash for frelght ehargen related to the betober 4 purchase, 1926. october 9 Retorn 10 defective units fron the october 4 purchase and receipt of credit. Octobet 12 pay Kaluigi conpany in full. october 15 sel1 158 units of inventory to custosers on aceount, $22,640. (Mint, The cost of onita sold from the detober 4 parehane includen $50 unit cost plun $7 per unit for frelght less $1 per watt for the purchase diacount, or 556 per tanit., oetober 19 Receive ful1 payment fron custonern related to the sale on october 15 . Oetober 20 Purchase 98 units of inventory fron Kaluigi company for $68 per unit. oetober 22 sell 98 units of inventory to customer for canh, $7,840. Required: 1. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions: 2. Suppose by the end of October that the remaining inventory is estimated to have a net realizable value per unit of $35. Record any necessary adjusting entry for lower of cost and net realizable value. 3. Prepare the top section of the multiple-step income statement through gross profit for the month of October after the adjusting entry for lower of cost and net realizable value. Complete this question by entering your answers in the tabs below. Assuming that Bowser Company uses a FIFO perpetual inventory system to maintain its inventory records, record the transactions. (1F no entry is required for a transaction/event, select "No Journel Entry Required" in the first account field.)