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 Octobec, Bowser Company's inventory consists of 52 units with a cost per unit of 548 . The following transactions occur during the month of October. Gctobeir 4 Purchane 128 winits of inventery an aeceunt fren Whluigi Company for 550 per unit, tefar 2116 , h/30. Detober 5 Tay canh tor freight oharges related to the october 4 purchase, flak. october 9 Returh 10 defective units from the Detober 4 phrehase and receipt of eredit. October 12 Pay Kaluigi Conpany in ful1. october 15 sel1 158 units of inventory to custonern on accoant, 512,446 . fantint The cont of anita wold from abe Getober 4 $56 peq unit, Detober is Receive fel1 payment from custoeera related to the sale on october 15. oetober 20 Turnhase 98 unite of isventary from Maluigi corpany for $68 per unit. ootober 22 5el1 if units of inventory to custonera for canh, $7, ill 40 . 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 realizabie value per unit of 535 . 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 acjusting entry for lower of cost and net realizable value. Complete this question by entering your answers in the tabs below. 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. (If no entry is required for a transaction/event, seiect "No Jeurnal Entry Asquired" in the first account field.) Journal entry worksheet Record any necessery adjusting entry for lower of cost and net realizable value, Wolel Einter debits belues credits