ACC244-Financial Accounting FALL 2019 Ch7-Graded Homework Assignment 1) Bateman Enterprises ordered $75,000 of inventory from its supplier, Johnson Products on October 27. The order was shipped to Bateman using freight carrier Delta Cargo on October 29 with the terms FOB Destination The order was received by Bateman on November 24 On which company's balance sheet would the inventory be recorded as of the end of month October 317 a) Bateman Enterprises (6) Johnson Products Delta Cargo d) None of the above; the inventory does not get recorded until it is received. 2) Inventory is sent to Antiques-R-Us by Hart Industries for sale under a consignment arrangement. Which of the following statements is true? a) The inventory is held by Antiques-R-Us, so it is counted in their inventory balance. Hart Industries records a sale when the products are shipped to Antiques-R-US. Although the inventory is held by Antiques R-Us, it is not considered part of their inventory. d) Antiques-R-Us guarantees a sale to Hart Industries, so ownership is considered to have been transferred at shipment. 3) The following information represents activity of Doering Inc. for the respective years. Fill in the banks: 2017 2016 Beginning Inventory ? $13,000 Purchases $21,400 2000 2 Goods Available for Sale 2 33,1010 Ending Inventory $17,600 Cost of Goods Sold $19,200 $15,500 4) Which method of tracking inventory as it comes in/out of a company is the most widely used today, with the help of computers? a) Specific Identification b) Periodic Method c) Gross Profit Method d) Perpetual Method Use the information below to answer the next two questions: Beginning Inventory 10 units at $15/unit Purchase 1 25 units at $17/unit Purchase 2 15 units at $20/unit Sales 10 units 5) What is the weighted average cost of the units sold? 6) What is the cost of the 10 units sold if the company is using the FIFO method? ACC244-Financial Accounting FALL 2019 Ch7-Graded Homework Assignment 1) Bateman Enterprises ordered $75,000 of inventory from its supplier, Johnson Products on October 27. The order was shipped to Bateman using freight carrier Delta Cargo on October 29 with the terms FOB Destination The order was received by Bateman on November 24 On which company's balance sheet would the inventory be recorded as of the end of month October 317 a) Bateman Enterprises (6) Johnson Products Delta Cargo d) None of the above; the inventory does not get recorded until it is received. 2) Inventory is sent to Antiques-R-Us by Hart Industries for sale under a consignment arrangement. Which of the following statements is true? a) The inventory is held by Antiques-R-Us, so it is counted in their inventory balance. Hart Industries records a sale when the products are shipped to Antiques-R-US. Although the inventory is held by Antiques R-Us, it is not considered part of their inventory. d) Antiques-R-Us guarantees a sale to Hart Industries, so ownership is considered to have been transferred at shipment. 3) The following information represents activity of Doering Inc. for the respective years. Fill in the banks: 2017 2016 Beginning Inventory ? $13,000 Purchases $21,400 2000 2 Goods Available for Sale 2 33,1010 Ending Inventory $17,600 Cost of Goods Sold $19,200 $15,500 4) Which method of tracking inventory as it comes in/out of a company is the most widely used today, with the help of computers? a) Specific Identification b) Periodic Method c) Gross Profit Method d) Perpetual Method Use the information below to answer the next two questions: Beginning Inventory 10 units at $15/unit Purchase 1 25 units at $17/unit Purchase 2 15 units at $20/unit Sales 10 units 5) What is the weighted average cost of the units sold? 6) What is the cost of the 10 units sold if the company is using the FIFO method