Accounting Inventory method -

The following transactions occurred during August for Samsung Pty Ltd.

August 1 Inventory on hand was 20 units at a cost of $15 per unit

August 6 Purchased 10 units for cash for $18 per unit

August 12 Sold 25 units for cash at a selling price of $35 per unit

August 31 Inventory on hand was 5 units

(a) Calculate the cost of sales during August using the FIFO inventory costing method.

(1 mark)

(b) Prepare the journal entries to record the two transactions in August using the FIFO perpetual inventory method.